Property investors remain optimistic for the year ahead, even in the face of persistent economic and regulatory challenges, research from Market Financial Solutions (MFS) has revealed.
The specialist lender commissioned an independent survey of 2,000 adults, finding that 16% held property investments, including buy-to-let (BTL) properties, holiday homes and commercial units.
Of those with property investments, more than half (53%) were confident in the outlook for their investments, while only 14% were pessimistic.
Almost two in five (38%) believed it would be easier to manage property investments this year compared to last, but more than half (56%) were worried about the UK economy entering a recession, which was confirmed earlier this month.
Of the investors who owned BTL properties, 63% were worried about the amount and complexity of regulation, with 56% saying that increasing regulation was deterring them from investing in more BTL properties.
Paresh Raja (pictured), CEO of Market Financial Solutions, said: “First and foremost, it’s notable that one in six UK adults holds some form of property investment, underlining the lasting appeal of bricks and mortar among retail and sophisticated investors alike.
“What’s more, we can clearly see that optimism far outweighs pessimism among property investors at present.”
He continued: “Quite rightly, though, investors are evidently mindful of the challenges impacting their property portfolios.
“Concerns over the now-confirmed onset of a recession loom large, while escalating regulation – particularly in the BTL space – is another concern.
“It will be intriguing to see how the upcoming general election either eases or exacerbates these worries. As a lender, we know that people dislike uncertainty.
“So, greater clarity around the state of the economy and the future direction of housing and investment policy would undoubtedly help people better manage their investment strategies in the short, medium and long term.”