Property investment is not a quick fix, but instead, a long-term financial solution to building wealth, as any experienced BTL landlord is aware of.
Despite rental yields being a priority for some landlords, other landlords far more concerned with capital growth to build wealth, specifically those who are investing in property in London and the southeast where rental returns are usually the lowest in the UK.
There is absolutely no doubt, that concentrating on capital growth is integral to ensure long-term success, as exemplified by growth in equity release levels, which is expected to rise later this year.
According to data provided by Key Retirement, in the past six months of 2018, retired homeowners released £1.7bn of property wealth.
Furthermore, £9.5m of property wealth was released each day in the six months with equity release plan sales increasing by 29% on the same period of 2017, shown by Key Retirement’s Equity Release Market Monitor.
Chief Product Officer at Key Retirement, Dean Mirfin commented: “Customer demand is driving the expansion in the market to new record highs enabling more retired homeowners to transform their finances.
“More money was released in the first six months of 2018 than in the whole of 2015 as records continue to be broken across the market with expert independent advisers playing a vital role.
“Property wealth is not just helping to transform an individual’s retirement planning but is also helping their families with their financial needs. The growth in gifting underlines how much can be achieved when the average amounts being released are as much as £78,000. The Bank of Mum and Dad, or Gran and Grandad are changing lives, and not just their own.”
Regarding the London area, retired homeowners on average, released £133,000 of property wealth every six months. This is the highest in the country, followed by the southeast on almost £90,000 and the southwest on £77,000.
However, each region witnessed a growth in the value of released property wealth. The total value of the property wealth released, increased by 65% in East Anglia in addition to plan sales which surged by 50% in the West Midlands.
Other areas with strong growth, included West Midlands at 62%, East Midlands at 56% and the North East at 1% below the East Midlands, at 55%. Northern Ireland and Wales were reportedly the highest performing areas for rising sales of plans.

Just Landlords launches competition to find Britain’s most beautiful garden
Our sister company, Just Landlords launched their competition to find Britain’s Most Beautiful Garden this week. The competition, which is …

HMO Licensing: Have You Applied?
Landlords that haven’t applied for the new type of HMO licence (House in Multiple Occupation), which came into force on …

Council with Most Prosecutions of Agents and Landlords is Named
Camden has been revealed as the local authority with the highest number of prosecutions of agents and landlords in London. …

Landlord Ordered to Pay £12k Compensation After Burning Tenant’s Belongings
It is no secret that the landlord and tenant relationship is a frequently debated issue. However, the fact remains, it …

Stuck with the Stigma: Private Landlords Close to Quitting
Does media really have the power to turn landlords away from the private rental sector? Adjustments to the buy-to-let tax …