Real Estate Investments Surpasses Others
This is, of course good news for those who have invested into the real estate sector. The real estate sector has outperformed other sectors in terms of the return generated on the initial outlay. With the combination of inflation & the low interest rate environment the country is currently facing means real estate has performed better than both instant access savings accounts and the FTSE 100.
According to Samantha Baden, the property analyst for the company, she stated that -”In the current economic climate, against a backdrop of high inflation, even maintaining the value of an investment can be difficult, but for 2011 so far, the property market has managed to deliver this.”
With the likes of more & more foreign investors choosing to invest into London’s property sector, it has definitely made UK cement it’s standing as a safe haven for investments.
Earlier this month, the head of investment management at London Central Portfolio Hugh Best pointed out that investors from nations such as South Korea, Singapore and Malaysia are increasingly attracted to the UK’s real estate sector due to favourable foreign exchange rates.
Just last week it was reported that a Middle Eastern billionaire businessman has just signed the lease to the UK’s most expensive rental property for a staggering £55,000-a-week – that’s £7,860 per day while Malaysia’s Employees’ Provident Fund (EPF) was reported to have purchased an office block in St James’s Square, London, where the tenants has one of London’s highest rents.
This is definitely a boost for prospective investors who are planning on investing into property. With London’s real estate investments continuing to receive good reviews, most of these prospective,young,fresh and new investors will most certainly shift their attention to London.