A new wave of investors for Buy-to-let.

March 13, 2015

For a long time now Brits have been infatuated with the buy to let property as an investment for their future, the idea of buying a property and getting somebody else to cover the mortgage by paying you rent every month is simply irresistible. Buy to let has not only been instrumental in supporting the overall property market especially during the downturns, but also in fuelling the runaway UK house price growth of the last 20 years, this in turn has flattened young people’s hopes of getting on the property ladder and forced them into rented accomodation.

A group of people who have been able to benefit from this demand for rented accomodation are retirees with a decent sized savings pot that was earning very little on deposit in bank or building society, they have gone for buy to let which offered them a return of 7% to 8% annual return on their investment, most were very happy to be in bricks and mortar as an investement. Come April the same and new retirees will see changes to the pension rules, infact they will no longer have to buy an annuity, they will take control of their own pension pot,the radical reforms will allow the over-55s to draw cash from their pension from 6 April, and spend it on whatever they like.

This will probably see a tsunami of pension cash flowing into the UK housing market, one in three people heading for retirement are now considering purchasing a buy-to-let property according to a recent survey by Platinum Property Partners. this could amount to a further 80,000 new investors a year as per Property solicitors NeglectAssist, this would be on top of the already 1.63 million existing buy-to-let investors, whose numbers rose 8% last year.

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.

You May Also Enjoy

Breaking News

Forget kerb appeal: LRG report reveals what really triggers a homebuyer’s offer

One of the UK’s largest property services groups has published its debut sales report, uncovering what genuinely persuades buyers to make an offer – and the findings challenge the traditional focus on kerb appeal. While sellers often guess which improvements will pay off, the data shows where money is well spent and where it’s wasted.…
Read More →
Breaking News

Prime London’s love affair with period homes continues

One in four listings are historic properties The latest research from Jefferies London shows that nearly a quarter of homes listed for sale across prime central London (23.3%) offer high-end homebuyers the chance to secure a period property, with demand for prime period properties at its highest in Maida Vale. Jefferies London analysed current for…
Read More →
Breaking News

Industry Response to latest Nationwide House Price Index

Nationwide House Price Index for October 2025, with the latest figures showing no Halloween haunting for homebuyers where house price growth is concerned – despite widespread talks of Autumn Budget uncertainty hitting the market. The latest index shows that: – House prices increased by 0.3% between September and October of this year. On an annual…
Read More →
Breaking News

The capital’s most haunted property hotspots for Halloween homebuyers

The latest analysis by Foxtons has revealed which of the capital’s spookiest postcodes command the largest house price premiums, as the average cost of purchasing a property in one of London’s most haunted neighbourhoods comes in 48% more than the wider London average. Foxtons analysed the property market across 14 of London’s most haunted locations,…
Read More →
Breaking News

Annual house price growth edges higher in October

Slight increase in annual house price growth to 2.4% House prices were up 0.3% month on month Kitchen and bathroom renovations most popular amongst homeowners in last five years Analysis based on Nationwide’s HPI data shows extensions or loft conversions with a bedroom can increase house value by up to 24% Headlines Oct-25 Sep-25 Monthly…
Read More →
Breaking News

How much will a Halloween Castle set you back

The latest research from Enness Global has revealed that, for those looking to follow in the footsteps of Count Dracula this Halloween, the average castle on the UK market will set buyers back around £2.2 million, requiring a deposit of £332,609 and a monthly mortgage repayment of more than £10,000. Enness Global analysed current castle…
Read More →