Property agents working with clients in Hong Kong have reported a staggering increase in Hong Kong residents purchasing UK property, in the wake of the new visa introduced for British National Overseas (BNO) passport holders by the UK government back in January.
The new visa, which was introduced to protect Hong Kong nationals who hold British passports following a change in laws by China at the start of the year, offers individuals who hold a BNO passport, the opportunity to come to the UK permanently and apply for residency after 5 years. In total it is estimated that the new visa will see over 300,000 new citizens come to the UK over the next 5 years and an outpouring of £26 billion into the UK economy.
With more Hong Kong nationals looking to establish a foothold or second home in the UK, ahead of a permanent move, the UK property market has naturally seen an increase in interest and activity. Purchasing a property in the UK prior to emigrating, initially as a buy-to-let, or just as an asset that will grow in value, would provide applicants with proof that they can financially support themselves for the first six months of residence in the UK, which is required throughout the application process.
This increased demand from Hong Kong residents has also contributed to the increase in house prices across the UK, with the UK’s largest listing platform Rightmove reporting an increase of 0.8% in their March House Price Index. The surge in demand has also been heightened by the extension of the Stamp Duty Holiday until June 2021, a move that is saving homeowners, UK and international investors, thousands on their transactions.
Where to invest?
Manchester has long been a popular regional city for Hong Kong investors and continues to provide some of the highest rental yields and strongest capital growth in the UK. With capital growth increasing on average every 5 years by 24%, the Manchester property market will see interest increase even further into 2021, as more applicants begin their processes and start emigrating to the UK with their new Visa.
At Beech Holdings, we have a range of opportunities in Manchester. Whether you are purely looking for an investment, or a property that give you the flexibility for personal use, we have what you are looking for.
Weavers House – Invest from £124,950 | 7% NET yield guaranteed for 2 years | Fully-managed.
The first development within a brand-new master plan neighbourhood called Cross Quays Square, Weavers House is a private gated community, made up of 30 beautifully crafted boutique apartments, at the gateway to Media City and Salford Quays. Situated along a tree-lined boulevard, with a Metrolink station 10 metres from the front door, Weavers House is not only a great location for those working and studying in the MediaCityUK area, but it also offers unrivalled connectivity to Manchester City Centre and beyond.
For investors, Weavers House offers all the benefits of owning property without any of the hassle of being a landlord. All apartments come fully furnished to the highest specification, with assured returns of 7% NET, projected capital growth of 3% per year, and full management included.
At Beech Holdings we provide an entirely hassle-free, fully managed investment service to our investors so that they can benefit from property investment without being a hands-on landlord.
Ancoats Gardens – Invest from £249,950 | Optional for personal use | Option to mortgage.
Located in the popular area of Ancoats, Ancoats Gardens features 155 spacious luxury one, two and three-bedroom apartments, and an extensive array of facilities and amenities. With more people in the UK than ever choosing to rent for the long-term, Ancoats Gardens was designed with the modern, young professional tenant in mind.
As well as having exclusive access to a range of facilities and amenities, residents of Ancoats Garden’s will also benefit from the development’s highly sought-after location – putting them within minutes of the city’s key business and leisure districts, all of which can be easily reached on foot.
For investors, Ancoats Gardens offers all the benefits of owning property without any of the hassle of being a landlord. All apartments come fully furnished to the highest specification, with projected returns of 7% NET, projected capital growth of 3% per year, and full management included. When it comes to financing options, purchasers can choose between a full capital investment, or finance part of the sale using a mortgage.
Get in touch today to find out more about how we can help you ahead of your move to the UK.