The North East has what property investors might call a perfect combination of factors that make it an attractive proposition for investment:
● Low property prices
● High rental yields
● Good prospects for rising property prices in the future
So those are the top three reasons to look at the North East as a place to invest in property. But there are other reasons that make it attractive- particularly as a place to live and work.
The North East is home to Northumberland with its stunning beaches, castles and wild landscapes. A place of natural beauty to visit and enjoy, and of course on the doorstep of Newcastle with its world-class culture, vibrant nightlife and award winning restaurants and eateries.
The economy of the North East has been traditionally mining and manufacturing, and of course ship building. Manufacturing remains an important part of the economy and is increasingly high value, advanced manufacturing with clusters in a number of sectors including automotive and medicine.
There is also investment in the region, including £17.2m for the North East and Yorkshire to support high streets and attract private sector funding for regeneration projects.
Amongst the towns that have won funding are:
● Barnsley
● Hexham
● Middlesbrough
● North Shields
● Northallerton
The North East is also home to some of the UK’s top universities including Durham, Sunderland, Newcastle and Northumbria so demand for rental properties is high in the towns and cities that are home to universities.
So key drivers making property investment an attractive proposition in the North East are;
● Successful and evolving economy
● Large student population across the region
● High quality of life
● Expected future increase in property prices and rental yields
The Coronavirus pandemic presents challenges to use all, but also opportunity. The Bank of England has cut the base rate of interest by 0.5% and subsequently reduced it further to 0.1%. This is the lowest that the base rate has ever been so there will be excellent mortgage deals available for buy-to-let investors adding to their portfolios, or new investors taking their first steps.
We are here to help and advise, and we are looking after our clients as usual, albeit via video call, telephone and email. So if you have queries, questions or concerns please contact us and we would be only too pleased to advise
