Property investors remain confident despite market challenges – MFS

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  • 29/02/2024
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Property investors remain confident despite market challenges – MFS
Property investors are largely optimistic about the year ahead but acknowledge that challenges remain in the market, a survey from a specialist lender found.

The Market Financial Solutions (MFS) survey showed that 53 per cent of people with property investments felt positive about the outlook for their assets. Just 14 per cent said they were pessimistic. 

Looking ahead, 38 per cent of respondents believed it would be easier to manage their investments compared to last year. However, 56 per cent were worried about the UK economy entering a recession, which was confirmed earlier this month. 

Of the respondents with buy-to-let (BTL) properties, 63 per cent had concerns about complex regulations. Some 56 per cent said increasing regulation was putting them off from investing in more property. 

MFS’ survey of 2,000 people found 16 per cent held a property investment. 

Paresh Raja (pictured), CEO of MFS – which announced plans to refund valuation fees for bridging customers earlier this month – said: “First and foremost, it’s notable that one in six UK adults holds some form of property investment, underlining the lasting appeal of bricks-and-mortar among retail and sophisticated investors alike. What’s more, we can clearly see that optimism far outweighs pessimism among property investors at present.

“Quite rightly, though, investors are evidently mindful of the challenges impacting their property portfolios. Concerns over the now-confirmed onset of a recession loom large, while escalating regulation – particularly in the BTL space – is another concern. 

“It will be intriguing to see how the upcoming general election either eases or exacerbates these worries. As a lender, we know that people dislike uncertainty. So, greater clarity around the state of the economy and the future direction of housing and investment policy would undoubtedly help people better manage their investment strategies in the short, medium and long term.” 

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