IFAs expect continued house price rises

Published on

Sean Oldfield, CEO of Castle Trust

New research from Castle Trust reveals that 86.4% of IFAs expect UK house prices to increase during the next three years and 40.4% would increase their personal exposure to the asset class if it was easier to do so in a tax-efficient manner.

This increased appetite is mirrored in the demands of their clients, with 42% more IFA clients showing an interest in residential property as an investment.

The new survey with 104 financial advisers reveals that between now and 2019, 86% of advisers expect house prices to rise – with one in 20 anticipating a dramatic increase. When looking at the next 10 years, only 6% expect prices to fall and one in 14 think they will rise by over 50%. By 2024, financial advisers on average think that house prices will increase by around 21%, which would add £37,773 to the value of a typical home.

The research reveals that over 40% of IFA clients want to increase their investment in residential property. According to the survey, the most common barriers to investing in a buy-to-let property are:
1. getting a deposit together (49%),
2. worries about tenants or lack of tenants (51%) and
3. hassle (41%).

Sean Oldfield (pictured), chief executive of Castle Trust, said: “It is clear that confidence in the entire UK housing market is finally taking hold and is no longer just confined to London & the South East. This is starkly apparent from our own results – we have witnessed record flows into our Housa products, presumably because their returns are tightly pegged to the Halifax House Price Index.

“Our Housa products provide a simple alternative to buy-to-let which has never before existed – which opens up the chance for more people to invest in residential property who previously weren’t able to do so.”

COMMENT ON MORTGAGE SOUP

We want to hear from you!
Leave a comment and get the conversation started.
You need to register to post, so please login or sign up below.

Latest articles

Asking prices move further ahead of market values, TwentyCi warns lenders

The gap between sellers' asking prices and independent property valuations has doubled over the...

Home movers back digital property packs as support grows for homebuying reform

Most recent home movers support the use of digital property packs and believe the...

Virgin Money increases fixed mortgage rates across core product range

Virgin Money is increasing fixed mortgage rates across much of its purchase and remortgage...

Olmo adds AI-powered automatic file checking for mortgage brokers

Olmo has launched an AI-powered automatic file checking system designed to help mortgage firms...

LendInvest posts record £1.44bn lending year

LendInvest recorded its strongest ever year for lending in the 12 months to 31...

Latest publication

Other news

Asking prices move further ahead of market values, TwentyCi warns lenders

The gap between sellers' asking prices and independent property valuations has doubled over the...

A steadier second half of 2026 in sight?

The first half of 2026 has been a reminder that the mortgage market does...

Home movers back digital property packs as support grows for homebuying reform

Most recent home movers support the use of digital property packs and believe the...