Will 2024 be a good year to buy and let?
We evaluate whether 2024 presents favourable conditions for property investment and rental prospects
Forecasters are predicting that although there will likely be further price falls in 2024, they will recover and should have risen at least in line with inflation in five years’ time.
At the same time, there should be some bargains around, particularly in the first half of the year, as motivated sellers look to agree a quick sale before the value of their property potentially drops.
So, investors that research an area properly should be able to find a good deal that will then grow well in value over the medium to long term.
On the letting front, rental demand isn’t going anywhere.
Mortgage and tax pressures and uncertainty over rental reforms, combined with natural attrition as landlords move into retirement, means investors will continue to exit the market.
There is already a shortage of stock across much of the UK, particularly in major cities, and rents are forecast to continue to climb at between five and six percent through 2024.
All this means that if you are able to buy the type of property that’s in demand, in the right location and at a good price, you should be able to secure better than average rental returns.
For more detailed information, head to our ‘Economic and property market update for 2024’.
