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Discover why serviced apartments are the new buy-to-let
  • 8-12% NET annual yields
  • 10-year fixed income agreements
  • Professional onsite management
  • Full legal ownership
  • Zero costs for 10 years
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Property investment opportunities: our properties

Buy-to-let property
Property Investment in the UK

We focus on three sectors of the UK property market for investors: residential buy-to-let, serviced apartments and off-market care homes.

All our properties are fully-managed by either onsite or local professionals.

Next steps on this page: view our property investments, select a topic below, or talk to a Senior Property Consultant.

 

Buy-to-let property
The PostCOde Essex
Tenant-ready & ideal for London commuters
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The PostCOde is our newly operational high street property in the UK’s top buy-to-let location. Sitting adjacent to Fenwick’s department store and a short walk from 2 mainline train stations, it is highly sought-after by professional London commuters.

  • Direct 47-minute train to Central London
  • Tenant-ready, with luxury fixtures & fittings
  • Projected 8.8% NET Cashflow with a mortgage
  • Mortgageable: invest from £36,250
The SE15, London
Boutique London apartments - only 7 available
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The SE15 is a new build development of luxury 2 and 3-bed apartments in one of London’s most popular districts. Set back from a vibrant high street, tenants benefit from being just a 3-minute walk from the train station – with a direct 10-minute connection to London Bridge.

  • London’s Best Place to Live (Sunday Times)
  • Exceptional balcony views of London skyline
  • Luxury fixtures, fittings & appliances
  • Estimated 9.8% NET geared return
The Walton, London
Highly rentable apartments
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The Walton is our development of contemporary apartments in the heart of a wealthy London suburb. Built by a £1.3 billion London developer with an impressive track record, these property investments are available to clients with a 5% discount on the purchase price.

  • 1 and 2-bedroom tenant-ready apartments
  • Priced from £205,000 – mortgages available
  • 7.1% NET geared annual yield
  • Only 10% of price required at purchase
Serviced Apartments
The Bay Holiday Cottages
Established & proven development
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The Bay is a guest-ready development of 2-bed holiday cottages on the Isle of Wight, UK. As a Furnished Holiday Let (FHL), investors benefit from tax-saving capital allowances – increasing already impressive NET yields. Other perks include professional onsite management and proven demand.

  • 12.17% NET comparable yield – based on 40% taxpayer
  • Effortless income begins immediately
  • Capital allowances: nearly 4 years tax-free income
  • Highly sellable asset

Property Investment in the UK

UK property market: analysing the appeal

Taken together, the UK’s commercial and residential property stock is the third largest real estate market globally.

It is rated as “highly transparent” (JLL) – meaning that it provides one of the most favourable operating environments in the world for investors and developers.

Residential housing represents the largest non-financial asset in the country, with a NET worth of £5.1 trillion and 1.75 million active landlords (HMRC).

Strong capital growth potential has been key to its appeal, with average house prices tripling over the last 20 years – from just over £70,000 in 1999 to £223,000 in 2017.

 

Apart from a dip in 2009, house prices increased every year during this period – though there has been somewhat of a slowdown in recent years.

Commercial property is valued at £883 billion, and is recognised as the top global destination for the sector’s private investors (Knight Frank).

UK real estate is hugely popular with foreign investors, who account for 28% of residential property investments. They also make up 16% of commercial property investment activity, with a third of this taking place outside London.

It represents a higher-yielding investment alternative to residential housing, with a shallower entry point that allows for portfolio diversification.

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Third largest global real estate market

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Highly transparent investment environment

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Top global destination for private investors

National housing shortage

That the UK has a housing crisis is one of the few issues that all the country’s political parties can agree on.

The combination of a high birth-rate, immigration and an aging population saw society grow by 538,000 in 2016 – the biggest rise for 70 years (ONS).

Housebuilding companies have long failed to keep pace with this spiralling demand and are building approximately 140,000 new homes a year – far short of the 250,000 annual target set by the Labour government back in 2007.

The Royal Institution of Chartered Surveyors predicts that, unless deep-seated issues are addressed, the UK will have a shortage of 1.8 million homes by 2025.

In April 2017, they also noted that the number of properties sitting on estate agents’ books fell to just 43 per branch in March – the lowest figure since the body started collecting the data in 1978. This shortage has caused an enormous surge in house prices, with the average time required to save for a deposit now an eye-watering 22 years.

 

Since vast numbers of people cannot get onto the housing ladder, 19% of the population now live in the private rental sector – nearly double 2002’s figure (English Housing Survey).

In April 2017, they also noted that the number of properties sitting on estate agents’ books fell to just 43 per branch in March – the lowest figure since the body started collecting the data in 1978.

This shortage has caused an enormous surge in house prices, with the average time required to save for a deposit now an eye-watering 22 years.

Since vast numbers of people cannot get onto the housing ladder, 19% of the population now live in the private rental sector – nearly double 2002’s figure (English Housing Survey).

 

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Population grew by 538,000 in 2016

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110,000 too few homes built last year

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1.8 million housing shortage by 2025

House price growth

Capital growth underpins the success of any property investment, yet house prices in the UK are unpredictable and have a horrible tendency to go down as well as up.

Property values have grown exponentially since the Second World War but recent performance suggests that this has come to an end.

At £219,266, the average house price in the UK is only 10% higher than the August 2007 peak.

With yields sitting at only 2% NET, this means that the average BTL property investor would have earned approximately £65,800 over the last decade, or 30% of the purchase price.

Even a property investor that bought in April 2009 when prices were at their lowest would only have made 42% capital growth since then.

Our commercial property investments, however, are unaffected by the wide range of factors that influence UK house price. These include economic growth, unemployment, interest rates, consumer confidence, mortgage availability, supply levels investment in infrastructure.

Unlike the residential market, commercial property values directly relate to income generation and our buyers receive 8-12% NET annual yields – effectively doubling their money in a decade. Our 10-year fixed income agreements also mean that clients benefit from up to 40% capital growth through yield compression.

Overseas investment in the UK

According to international real estate advisor Savills, overseas investors poured £5.8 billion into our regional commercial property market in 2016, accounting for almost one third (29%) of the total investment outside London.

In 2014 and 2015, when investment volumes in the UK regions were at an all time record, overseas investors represented an 18% (£4.1bn) and 27% (£6.1bn) market share of the total.

Savills reports Middle and Far Eastern buyers were busy outside London in 2016, spending £1.9 billion, an increase of 90% on their total spend in the UK regions the previous year.

They also note major interest from European investors who had a 32% market share of total investment in the UK regions, with German investors accounting for almost half.

Identifying a good property investment

As always in property investment, location is paramount. Careful research needs to be carried out to identify those places where a housing undersupply will translate into the sustained high demand required for reliable yield delivery.

Assurances over build quality also shield buyer yields from the excessive maintenance costs that arise from poor workmanship. Quality properties in the UK will be accredited by the NHBC, with new builds protected by 10-year Buildmark warranties.

A regular and consistent income is the ultimate hallmark of a good property investment. Some properties come with a fixed income agreement for a number of years which provides buyers with a pre-determined NET annual income, with no costs or surprises.

Resale needs to be considered before you purchase. Will it be resold to another investor? In which case repeatable net income and ease of management will be key in their purchase decision. Or will it be resold to an end-user? In which case there will be subtle differences which will form their decision to purchase.

What are the risks?

How to invest in property

If you’re buying off-plan, the greatest risk is that the property never actually gets built. This could see your investment wiped out completely.

Other risks include market volatility; if you need to liquidate during a downturn, you may have to sell at a loss. If you do well and make a profit, you may well be liable to significant Capital Gains Tax.

Rental income can be affected by a range of external influences, such as the national economy, local development or local business closures. There is no such thing as a guaranteed yield for a residential property landlord.

Void periods are inevitable and need to be budgeted for. If the worst comes to the worst, eviction proceedings are inevitably lengthy, costly and will lead to loss of rental income and possibly damage to the property.

Before you make any kind of investment, always make sure you can get out easily. Anybody’s circumstances can change overnight, but unlike stocks and shares, residential property resale takes a lot longer than that. You could be left high and dry.

And remember, most investments offer you some form of customer rights and protection; residential property investment does not.

Effortless UK property investments

Since 2008, we have been handpicking high yield property investments in the UK and overseas for a global client base.

With all lettings, legal certification, maintenance and rent collection conducted on your behalf via our integrated management system, all our property investments are completely effortless.

Our sole aim is to provide stress-free, sustained high income, with more than £200m worth of stock purchased to date and approximately 3,000 units currently under our management.

Key investment sectors

Buy-to-let: residential UK property investing

The proportion of residential stock being bought by property investors looking to tap into the private rental market has grown sharply since the 1990s, and they now account for 20% of all mortgages across the country.

Today, many buy-to-let landlords receive less than a 5% gross yield and of course net yield is even lower. Although this makes property a higher yielding option than savings accounts, ISAs and often the stock market it is still clearly very unsatisfactory for most investors.  This is one of the reasons investors talk with Emerging Property – to gain access to properties with a high yield.

Due to our group purchasing power, Emerging Property typically secure properties with an above 7% net yield. In addition the buy-to-lets we provide have either onsite or local management professionals which is the other key investment factor for most property investors.  Thus the investor is able to confidently build a portfolio where the overall investment case makes the most sense instead of being limited to the location where an investor lives.

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£1 trillion private rental sector

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Owner occupancy level at 30-year low

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7%+ NET annual income

Serviced apartments

Serviced apartments have been the UK’s fastest growing hospitality sector since 2014. Today, the sector accounts for 6% of all hotel investment volumes compared to just 2% in 2011 (ASAP).

Despite this increase in supply, however, the industry still experienced 81% occupancy levels in 2016 – a record for the sector and higher than hotel occupancy which sat at 77.2% during the same period (ASAP).

Future expansion will be led by the regions, with growth of 20.5% forecast in 2017, compared to an increase of 8.1% in London (Savills).

Strong demand is built on the UK’s thriving visitor economy. It is the 6th most visited country in the world (UNWTO) and attracted 37.3 international tourists in 2016 – a 3% annual increase and the highest level since records began in 1961.

By providing a bridge between Airbnb and the traditional hotel sector, serviced apartments are ideally positioned to capitalise on technological shifts and changing consumer preferences.

This explains the popularity of serviced apartments and underlines why they are growing into a mainstream property investment class. Sitting between 6.5% and 9.5%, sector yields are also outpacing the traditional hotel sector.

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6.5% NET annual income

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Higher occupancy than hotels

Strongest sector growth in the regions

Other commercial property

The UK is the most attractive global commercial property market, with overseas investors accounting for a third of all activity.

This popularity comes as a result of sophisticated and transparent legislation, as well as favourable exchange rates.

Traditionally, the UK’s commercial property market has been dominated by the office, retail and industrial sectors.

Alternative property investments, like serviced apartments and purpose built student accommodation, have increased their market share rapidly over the last few years.

Despite the Brexit referendum, the total volume invested into UK commercial property hit £27.2bn in the first six months of 2017 – a slight increase on the same period in 2016 (Savills).

Savills forecasts that average market yields are expected to be around 5.5% for UK commercial property in 2017 and will improve over the next five years. Total income varies from sector to sector, with current levels displayed in the chart opposite.

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£871 billion market

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4.7% NET annual income

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Popular with overseas investors

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As seen in:
Guardian: in the pressThe Times: in the pressCityscape: in the pressTelegraph: in the pressGulf Times: in the pressFinancial Times: in the pressAs seen in The Mail on Sunday