Building a Property Portfolio in 2021

For investors, 2020 has been an interesting year. Equity markets tumbled in March, presenting a major buying opportunity. Alternative investments including gold & certain cryptocurrencies have seen major growth, as investors sought stability in an uncertain environment. Bond markets have become rather undesirable as interest rates have sunk to historical lows. Those with liquidity found themselves in a strong position in March, as cash provided an excellent opportunity to take advantage of underpriced assets, but longer-term, savings deposits have provided little benefits due to abysmal interest rates.

Onto property, it’s been an exciting year. The main trend, of course, has been the migration of people leaving the cities in search of suburban or rural housing. This trend has been sparked by the significant= shift of people working remotely.

Property has presented itself as both an investment safe haven but also an excellent growth asset. As trends change, opportunities differ. As such, in this blog, we explore how to build a property portfolio in 2021 and some of the most exciting investment areas.

Many eyes now are turning to 2021 with people looking to prepare themselves and their portfolios for future opportunities, below we look at some cities with exceptional value and growth potential.

Lisbon

Lisbon has become a prime destination for property investment, enticing foreign investors with its growing economy, real estate and tourism market. The city is becoming increasingly popular amongst international tech start-ups and multinational companies, bringing with them top talent from all over the world. In fact, Lisbon, just this year, has been hailed as the #1 market to watch in PWC’s emerging trends in Real Estate Europe 2019.

London

London is on the return. London for many years became far too expensive for growth investors, with prices becoming truly extortionate. However, London is beginning to present value, but not in the normal areas. Savvy investors are finding that the commuter ring of London is now one of the most attractive areas in the world due to the new transport links which are set to open soon. As people are increasingly working remotely or part-remote, the suburban areas of London are set to rise sharply in value. Those who act quickly enough will place themselves in an strong position.

Berlin

In recent years, the German Real Estate market has undergone a dramatic transformation and no city has seen this more so than the capital, Berlin.

Despite being the fourth-largest economy in the world and Europe’s largest, property prices remain substantially lower than both European and global peers.

Berlin’s boom has much to do with their widespread investment in the cities infrastructure.

Berlin Brandenburg Airport will offer direct flights internationally 33 million passengers per annum The new Airport will be able to handle 33 million passengers per annum increasing gradually to 55 million in 2040

Leeds

A lively metropolitan city, encouraging economic growth and a booming population make property investment in Leeds an attractive proposition.

Already a city of choice for companies, students and young up and coming professionals, ongoing and prospective investment projects are set to further revolutionise this ambitious city and increase its economic potential and livability.

A great place to live, work and play with affordable housing and strong rental yields, there’s never been a better time to invest in property in Leeds. Read on to find out why this Yorkshire city should be on your property investment radar.

Manchester

Manchester was previously considered an unusual choice for investors in the buy to let market, with many opting for London due to its high growth potential and high yields.

Manchester is consistently in the top 3 UK hot spots for investment, has recently been voted the most desirable place to live in the UK, and outperforms any other city in terms of both capital appreciation and rental yields.

The quality of life in Manchester is considered some of the highest in the UK due to job prospects, social scene, and ability to get to idyllic destinations such as the Peak District in just a few minutes – pleasing both urbanites and nature lovers alike.

One of the reasons Manchester has performed so well The reason for this growth is the level of investment in the job market – over 80% of the FTSE 100 companies now have a presence in Manchester, and 50 international banks, with an estimated GDV of over £50bn, making it more attractive for graduates to remain there, of which 20,000 graduate and stay in the city centre each year due to the strong job opportunities.

Manchester is partway through a multi-billion pound regeneration scheme, improving all areas of the city centre, airport, and general infrastructure – including the iconic Spinningfields – the luxury destination home to over 165 world-class financial and commercial services organizations, shops and restaurants.

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