Highest rent returns in the country come from towns which voted leave
Monday 15 August 2016
The highest rent returns in the country on second properties come from towns which voted to leave EU, bizarre stats have shown.
Property finance experts LendInvest's study found that of the top 20 local authority districts for rental yield, 18 voted in favour of Brexit.
Just Manchester and Liverpool voted to remain as part of the top 20.
Liverpool boasts a rental yield of 5.4% while Manchester retains it place at the top of the local authority list with a 6.8% yield during the last three quarters.
But for the remaining 18, they all wanted out of Europe.
Co-founder and CEO of LendInvest, Christian Faes said: "It’s very interesting that the top districts for rental yield, which are often found in the North East and North West, voted so overwhelmingly for Brexit.
"The areas that have seen the best of the recent boom times have generally enjoyed the biggest house price rises, and with that offered the greatest capital gains.
"Perhaps it is no surprise that they were sufficiently content with the status quo to vote Remain.
"Areas which have seen far more modest house price rises, appear to have been more disposed to voting for the change promised by Brexit.
"Brexit may create opportunities for property investors, particularly professional and experienced ones.
"House prices are expected to soften, so some would-be buyers may put off buying.
"But they still need somewhere to live, which is good news for landlords.
"What’s more, if house prices do cool as predicted, then investing in property will become even more enticing."
Among those who voted out and show high rent yields include Coventry, Luton and Outer London.
For capital gains, the results are turned on their head.
Only two of the top 20 districts voted in favour or Brexit - Barking and Dagenham and Spelthorne.
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