Considering the challenging economic conditions of late, it’s easy to see why many investors had expressed a sense of pessimism about the prospects of a resurgent global property market in 2023, however, things have certainly started to show positive signs of improvement.
The global property market is poised for growth in 2023 thanks to a variety of factors contributing to an increase in demand. One of the primary drivers of growth is the global economic recovery, which has been gaining momentum since the COVID-19 pandemic. As economies around the world continue to rebound, people are gaining confidence in their financial future and looking to invest in tangible assets such as buy-to-let property.
Technological advancements are also changing the way people buy, sell, and manage property investments. Virtual reality, blockchain, and machine learning are just a few of the technologies that are revolutionising the real estate industry and making it more accessible to a wider range of investors.
As long as the global economy remains stable and interest rates remain low, there is no reason to believe that this growth will slow down anytime soon.
JLL Global Property Market Report
JLL Partners recently released their ‘Global Real Estate Perspective March 2023’, a report which cast a positive light on the world’s property markets, highlighting the buoyancy of robust, thriving, and emerging markets across the globe.
The report states; “A variety of economic headwinds were evident in the final quarter of 2022, with inflation rising, interest rates climbing, and growth slowing. However, there are now signs that the outlook is improving and the slowdown will be relatively short and shallow.”
In the ‘Global Real Estate Health Monitor’ section of the report, the UK was amongst a number of other housing markets such as the US and Singapore, showing that London, for example, saw an investment of nearly $24 billion into the property market in 2022.
Rental growth in the UK was one of the strongest in the world, with London rents rising by just over 10% across Q4 2022, compared to New York for example, which saw a drop of 1.1%.
Overall the outlook for the UK property market was a positive one and matched fairly well with what we have seen across the developed world.
Investing in UK buy-to-let property
Overall, investing in buy-to-let property in the UK remains popular for a number of reasons. Firstly, the UK has a stable and growing rental market, which means there is a steady demand for rental properties. With the increasing number of people choosing to rent rather than buy a property, there is a great opportunity for investors to earn a good return on their investment.
Cities such as Manchester, Leeds, Liverpool, Salford and Stoke are all excellent examples of how the UK property market continues to reinvent itself and provide new and exciting opportunities for both renters and investors.
In comparison to other investments, UK buy-to-let offers a remarkably stable foundation for generating substantial passive income. To learn more about how we can help you to invest in this booming market and achieve your investment goals, please do not hesitate to contact us today.