The proportion of registrations revealing their intention to buy a property for investment purposes has risen from 21% in January 2002 to over 31% in October 2003. SmartNewHomes, which has been regularly seeing over 6000 registered users per month believes this strongly supports the rising importance of investment as the reason for new home purchase.
The overall upward trend in house prices in recent years combined with low interest rates has prompted many investors to look at property as an alternative to saving schemes and pensions. First time investors are also using property for a quick return on funds through rental income and increased value. This trend is reflected in the data gathered by SmartNewHomes.com, specialists in the new property market.
SmartNewHomes Chief Executive, David Bexon, said he expected the figure to increase further in the following months: “Ever since the Second World War, property has provided good returns in both the medium and long term and for this reason more people are turning to property as an investment for their funds. Potential buy-to-let properties in up-and-coming areas are now providing reliable returns and reasonable profits for investors at all levels. New home builders are now responding to this demand by offering specialist packages for investors.”
