Ireland tops the EU league for Buy-to-Let Investments.

According to new research by WorldFirst, Ireland is once again the top European location for buy-to-let investments. This comes as UK yields fall to 4% putting the country in the bottom 5 for buy-to-let investment returns in Europe.

UK landlords have seen average yields plummet 19% over the past year following a raft of tax changes, causing the UK to crash 10 places in Europe’s buy-to-let ranks.

WorldFirst state: The UK’s stuttering rental market is beginning to hit buy-to-let investors with yields falling from from 4.91% to 4% over the past year. The latest findings also come a year after stamp duty changes came into play in the UK, significantly increasing fees for those investing in buy-to-let or purchasing a second home therefore making buy-to-let even less of an attractive investment option.

Commenting on the research, Edward Hardy, Economist at WorldFirst said:

“The correlation between a country’s housing sector and the health of the wider economy is clear. It may now be the case that the deteriorating dynamics of the UK’s rental market is sounding the alarm for a wider slowdown in residential housing and thereby broader economic wellbeing. While the UK remains in a purgatory-like state between EU membership and Brexit, long-term investment decisions have become increasingly difficult to make and falling returns for property investors could mark the beginning of the end for one of the UK’s most successful investment avenues of the past 25 years.”

Read the new research report by WorldFirst in full click here.

Allen Walkey

Highly experienced businessman with a successful career in property sales and investment both in the UK and abroad. Now a freelance writer and blogger for the property and Investment Industry, keeping readers up-to-date with changes and events in a rapidly changing world.

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