A fantastic city for several reasons, but here we give you 4 reasons why to jump on the property bandwagon and invest in Glasgow.
1. Better Affordability
For many investors, particularly from overseas, London is the go-to location in the UK for property investment. But it has become increasingly difficult for investors to get into the market in the British capital, whilst rocketing prices are seriously eating away at overall returns. In the last 3 months the average price paid for a property in London was an eye watering £608,853.
In comparison, the average price of property in Scotland was £158,094 and just £154,956 in Glasgow. Not only does this make it more accessible for investors, but a strong rental market will help investors to realise strong returns from their initial outlay.
2. A Booming Economy
In August 2014, UK government and local council officials signed ‘The City Deal’ agreement – a pledge to invest more than £1 billion into major infrastructure projects in Glasgow. This is set to boost the city’s economy for the next 20 years, creating tens and thousands of new jobs.
This, in turn, has had an impact on the number of people living in the city. Analysts are expecting Glasgow’s population to reach 600,000 by 2018, whilst the Greater Glasgow area accounts for more than 40% of Scotland’s entire population. Ultimately, more people, jobs and wealth creation has helped increase the demand for quality rental accommodation and drive the performance of Glasgow’s private rented sector (PRS).
3. Growing Yields for Property Investors
The figures speak for themselves:
- Rents in Glasgow increased by 22.4 % between 2011 and 2016
- In the first quarter of this year, the average rent of the city of Glasgow hit £710 per calendar month, up 4.6% since the first quarter of 2015.
Property in Glasgow is noticeably more affordable compared to real estate in other UK locations such as London – with the rental growth outlined above, it also means that investors will be able to achieve higher returns from their investment.
4. A Rich, Vibrant Culture
From performing arts to live sports, there’s always plenty of things to keep Glaswegians entertained.
The city is home to over 15 theatres, and both the Scottish National Opera and Ballet, as well as the Royal Scottish National Theatre, call Glasgow their homes. It regularly plays hosts to a number of annual live music and performing arts events, whilst it also hosted the Commonwealth Games as recently as 2014, which brought a significant amount of investment to the area. Glasgow is also home to two world-renowned football teams, Celtic and Rangers, who share one of the fiercest rivalries in world sport – The Old Firm.
Furthermore, Glasgow’s famous West End, a popular area amongst the city’s 80,000 student population, is littered with trendy bars, fine restaurants and quirky cafes.