Us recovery drives demand for detroit property
- Detroit in Top 10 most popular listings for first time
- Enquiries for Detroit property up 45% in six months to October
- Interest UK student property sector remains strong
The US housing market continues its slow and steady recovery, as house prices rise and construction climbs. The improving conditions helped to drive demand for property in Detroit last month, with tenanted homes in the city attracting some of the most enquiries on TheMoveChannel.com.
The portal's latest Investment Watch report reveals that a series of tenanted homes, ranging from three-bed homes to four-bed duplexes and triplexes, were the fourth most popular listings on the portal in September 2015, the first time the city has appeared in the Investment Watch chart.
The listing with the highest number of enquiries last month was an off-plan land plot in a Brazilian resort. The property offered returns of between 12 per cent and 20 per cent, proving so popular that it accounted for two of September's Top 10 listings.
That combination of lifestyle and investment appeal fuelled overseas interest. Indeed, the September report marks the continuing trend of rising activity among lifestyle investors looking for both strong lifestyle benefits and long-term returns or capital growth. Indeed, properties suitable for lifestyle investment buyers made up four of the Top 10 last month.
Investment in student property also continues to drive a large portion of activity on TheMoveChannel.com, with UK university cities home to three of the Top 10 listings in September, each offering returns of 10 per cent NET per annum for under £50,000. Regional cities remain the primary target for investors in the UK student sector, with Liverpool's Fox Street Village development generating the second largest response during the month.
The only property in the Investment Watch chart with an asking price of over £50,000 was also the only lifestyle opportunity in the Top 10: an apartment in Estepona for £71,491. This was the eighth most popular property on TheMoveChannel.com in September, demonstrating Spain's lasting international appeal.
TheMoveChannel.com Director Dan Johnson comments: "The UK's recovering economy, combined with the strength of the student housing sector, saw the country make up half of the Investment Watch Top 10 in September 2015. The USA remains as popular as ever, however: in August, a build-to-rent scheme in the US was the most popular listing on the site, with properties in locations as diverse as Charlotte, Dallas and Tampa catching buyers' eyes. While Florida is a key hotspot for foreigners, though, Detroit is also attractive, thanks to the potential for strong returns on low cost investments. In September, tenanted homes starting from £17,500, offered returns up to 40 per cent, a combination that drove Detroit to become the fourth most popular listing in September, its first time in the Investment Watch chart. In real terms, enquiries for Detroit property have risen 45 per cent in the six months to October 2015 compared to the previous six months. The rising interest in Detroit highlights the ongoing attractiveness of American real estate: despite prices rising and the dollar strengthening, investors are still keen on coming to America when the price is right."