London, England -- (SBWire) -- 01/01/2011 -- According to the latest figures from the Young Group, based on a survey of the group’s 500 property investors and landlords, sentiment in the private rented sector remains buoyant and there is a positive outlook for 2011.
In particular, the London market is expected to outperform the UK market in the coming year, with 89 per cent of respondents believing that London residential property prices will be at least at their current levels, or higher, at the end of 2011. On average, respondents expected an increase of 4.5 per cent.
“The market consensus is that prices have been stabilising in recent months and, in some locations, falling back. It is likely that 2011 will present a similar picture, as access to finance remains an issue and the demand from purchasers remains subdues, but it is clear from the latest index results that sentiment among residential property investors is becoming increasingly positive, at least for those with assets in London.
Almost a third of the respondents to the survey are considering purchasing additional investment property in London in the next 12 months, compared with 11 per cent thinking of buying elsewhere in the UK.
In addition, more people than in the past now view property as a long term investment, with the average length of anticipated holding now at 14.5 years, an increase of more than two years from the figure earlier in 2010.
The group stresses that lack of mortgage finance, together with limited new building, means that rental values throughout the UK are likely to rise in 2011.
Original comment can be found at The Buy To Let Advisory http://www.theadvisory.co.uk
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