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Property Gives Better Returns Than Gold

Over the last ten years or so, property has been one of the most lucrative investment in many parts of  the UK. According to the Office for National Statistics, house prices in England increased by an average of 8.2% between February 2015 and February 2016 alone, with London, the East and the South East of the country driving the property boom.

As a result, a lot of investors have opted to put their money in property instead of more traditional stocks and shares. In fact, recent research has shown that property now gives even better returns than gold. If you’re considering making an investment and want to see good returns, property could well be the way to go.

 

The study

Estate agent Leaders, and its sister company Romans, have recently carried out a study to find out just how lucrative investing in UK property really is. They looked at how much an investor would have earned had they put £50,000 into property, stocks, shares or gold in 2006. The results make fascinating reading for anyone thinking about putting their money in bricks and mortar.

 

Investment returns

The study found that, on average, an investment in gold would have delivered a profit of £50,673 over the past ten years. This is especially impressive considering an investor would only have received £14,447 in interest on a savings account in the same period while an investment in the FTSE 100 would have delivered just £2,969 in profits over the past decade.

The buy-to-let property market in the UK on the other hand boasts much more lucrative results. An investment of £50,000 in 2006 would have produced an ROI of 175% in the last ten years. This translates to a huge profit of £138,936, an impressive sum in anyone’s book.

 

Liquidity

Some investors still opt for gold, stocks and shares because of their liquidity. Property often takes weeks to sell, so investors looking to move money quickly often choose investment options that allow deals to be done fast. However, with such significant profits to be made, it’s no surprise that more and more investors on all levels are looking to property.

If you’re thinking about making your savings work a little harder, investing in property is a great way to go. To find out more about opportunities in the local area, or to learn how your money can go even further with a property investment, contact a member of our expert team or take a look around our site today. 

To find out more about the local and national property market, or if you would like to chat about anything to do with property investment, give us a ring on Norwich 01603 567804 or send us a message.

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