Overseas property investors choose the UK for profitable returns

  • Post category:Global Investment
  • Reading time:4 mins read

International investors keenly turn their attention to the UK market for property investments, and this trend has experienced substantial growth over the years. According to research, there are around 184,000 international landlords with UK properties, which has increased 19% in the past five years alone. This is due to UK being recognized as a lucrative property market that draws a considerable number of global investors. What factors contribute to making the UK one of the premier destinations for property investment? Let’s have a look.

Tax Friendly

One of the driving forces behind UK being an attractive destination for international investors is its lenient tax policies for investments. For example, the Stamp Duty Land Tax or SDLT for global investors is just 2% more than what it is for the country’s own population. On top of that, there is no additional dividend tax for non-UK citizens makes UK an excellent choice for international investors.

Rental Properties have a high demand

The UK property market has seen a fierce demand for rental properties as this market lures domestic and international landlords alike. Given that the rental growth has been in the double digits for the last one and a half year, investors can be rest assured that their investments will be safe as there is a need for rental properties in the UK. As of now, the annual rental demand has increased by 10.8%. The extensive background checks of tenants in the UK makes it even easier for landlords to invest in properties. These include credit checks, previous landlord references, employment confirmation, affordability, and visa status for non-UK citizens. This removes any fear or doubt in the landlord’s mind regarding who lives in their invested property.

Easier Borrowing

When it comes to mortgages, lenders in the UK tend to favour non-UK citizens by providing them a high LTV ratio. This allows investors to grab on to expensive deals.

Broader Investment Options

Investing in property in the UK brings a whole lot of options to choose from. Properties like flats, buy-to-let, serviced apartments, landed properties, etc are included in the list of options an investor can choose from. Other markets like Thailand and Singapore don’t offer such flexibility which makes the UK perfect for tailored investment structures.

Selling with ease

If an investor decides to sell their property, they have the liberty to do so without restrictions. They can present their property to potential buyers from any country, providing them with the opportunity to secure the optimal resale value for their property.

Structured Investments

In general, the favourable conditions provided in the UK empower investors to organize their property ventures effortlessly. Non-UK citizens can establish a limited company for buy-to-let investments seamlessly. The ability to sell investments in a global market, diverse investment opportunities, and simplified mortgage acquisition contribute to a seamless investment experience for overseas investors. Galaxy of Homes expedites the formation of a limited company within 48 hours, ensuring a streamlined journey for international buy-to-let investors.

Overall, investing in the UK for overseas property investors is a smooth ride as the country offers an attractive potential for growth.

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