The price of a typical UK home increased by 0.4% in May and was 1.1% higher than May 2012, according to the latest data from Nationwide.
The typical UK home is now worth £167,912.
Robert Gardner, Nationwide's Chief Economist, said: "House prices edged up by 0.4% in May, providing further support for the view that the housing market is gradually gaining momentum. The three month on three month measure of house prices, which is a smoother measure of the underlying trend, has been in positive territory since October last year. The annual rate of house price growth also ticked up to 1.1% in May - the fastest pace since November 2011.
In the last quarter of 2010 the number of buy-to-let mortgages leapt by 7% according to the Council of Mortgage Lenders and with more buy-to-let products coming to the market there are signs that this trend will continue.
This is good news for professional investors but there is reason to be cautious. Although rents in some areas (including Oxford) rose slightly there were falls of over 2% in the East of England and Wales.
As David Whittaker, Managing Director of Buy-to-let Lender Mortgages for Business, commented in response to the release of these statistics: "Falling rents are a temporary blip in the buy-to-let market and won't be a continuing trend." This however may prove a difficult obstacle for investors to overcome if their margins are tight.
It is essential therefore when purchasing investment property to ensure that the best property is chosen for the rental market in that area, allowing investors to realise the maximum income from their expenditure.
We have particular expertise in the acquisition of property on behalf of overseas clients, as well as hundreds of UK based investors, who are either too busy or too distant to be constantly searching websites, speaking to estate agents and wasting time viewing unsuitable properties.
A large proportion of our investor landlords have never met us in person and have never seen their investment properties. Our whole relationship with our clients is based on absolute integrity and trust.
In addition to our expert local knowledge of the market, scottfraser is also able to ensure that our clients have access to the best solicitors, surveyors, mortgage brokers and other professionals, as well as offering essential guidance on how the property is best prepared for the Oxford lettings market.
For more information on our services and to ensure you secure a safe investment contact our Investments team.
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01865 759926 / email@example.com