Real estate investment in the UK is one of the safer option of investing funds. Investing in real estate is nothing other as a renunciation of the use of the property in favour of specific benefits, the most common material benefits. The profits we achieve with this practice should fully compensate us not only the invested cash and also the measures necessary to maintain the premises.


Virtually, the investments involving a lot of money carry the risk. The return of the invested funds in the case of investing in real estate returns after a fairly long period, and in addition we must have a pretty impressive starting capital. Of course, most people take a loan. This form of financing is the most recommended, but like any investment it carries with it certain risks.In recent years the situation on the market in London was very beneficial for all investors. In the most prestigious districts of the city real estate prices have risen by as much as eleven percent. In a slightly less attractive cities the increase was less than three percent. Let us remember that investing in real estate it is not only the purchase, but also the sale at a profit. This term also conceals lease and hire. As the owner of the property you have many additional opportunities towards it. You can, for example, take a loan mortgage in order to redeem the capital that we have invested.

Home values in England

The British market is very popular among foreign investors. As many as one-third of buyers in the UK comes from outside the UK. The majority of these are Greeks, Russians and Chinese. Most of them puts on a strategy for long term hiring. Compared to what it was a few years ago, prices for rental properties in the UK continues to grow. What is more, from year to year also the number of rented apartments is increasing. Two years ago it was more than thirty percent.


By investing in the house in the UK, we must reckon with the amount of approximately 300 000 – 400 000 GBP depending on the region. It is important to note that the profits from the hire oscillate around five per cent per year. Future house prices are related to the huge demand, as well as a much smaller supply. More and more people are coming over to the UK and they start just from renting. Although the number of investors continues to grow, it is still small compared to the demand for them.The UK has the possibility of buying cheaper real estate on propert auctions. In these places you will find the property issued by a bailiff, offices and government at a price much lower than the average.


Deciding to invest in real estate in the UK we must buy it cheaper than in the case of the market price. You should also pay attention to the neighborhood in which our property is situated. Most people look for a safe environment with good transport hub.

If you are looking for good areas for investments you absolutely need to read the article describing the best places to live in England.

Below there is a graph showing the percentage change in house prices in the UK from January 2004 to November 2014.

Annual house price rates of change, UK all dwellings from January 2004 to November 2014

Below there is a graph showing the index value of all homes in the UK from January 2004 to November 2014.

Index values, UK all dwellings from January 2004 to November 2014NOTE: I present private opinions and I am not responsible for the readers’ decisions. I always try to present current information but may no longer be up to date. Therefore, before making a decision, please verify them and consult a licensed financial adviser.