University towns offer capital appreciation for landlords
News Category: Industry News
Published: 17-Aug-2007
New research from Halifax underlines the fact that university towns represent a represent a sensible buy-to-let option for landlords.
The lender's latest University Town House Price Review found that 20 urban areas with major further education institutes have enjoyed house price increases of over 20 per cent in the past year - nearly double the average in the UK as a whole.
On average, towns with universities saw house prices increase by 14 per cent this year, compared to 11 per cent elsewhere in the UK.
University towns which have enjoyed particularly strong growth include Belfast, Aberdeen, Dundee and Oxford.
"More than one quarter of university towns have seen house price increases of at least 20 per cent over the past year," commented Colin Kemp, managing director of Halifax Estate Agents.
"Investors have been attracted by the steady increase in university populations."
Recently, Lee Grandin, director of Landlord Mortgages, said that student letting represented a more "lucrative" market than renting to families or professionals.
