According to a recent survey conducted by Sourced Franchise, the majority of UK property investors remain confident in the value and performance of their portfolios. The research revealed that 71% of investors have not experienced a decline in the value of their portfolios since the Bank of England began raising interest rates in December 2021.

The survey also highlighted that 89% of property investors have seen a positive return from their portfolios over the past five years, indicating the resilience and stability of real estate as an asset class. Real estate was found to be the second most popular form of investment in the UK, after stocks and bonds.

Chris Kirkwood, Director of Sourced Franchise, emphasized the resilient nature of the property market, stating that despite the broader economic picture, the majority of investors have not witnessed any negative impact on the value of their property portfolios. While caution may be present in the outlook for the rest of the year, the overall sentiment is that the market will remain relatively stable, with no significant reduction in property values expected.

The survey highlighted that the most preferred option within the property sector for investors is HMO (House in Multiple Occupation) buy-to-let properties, followed by residential development, holiday homes, overseas property, and buy to sell investments.

However, the survey also noted that some investors are adopting a cautious approach due to changing market conditions and legislative environment. Approximately 55% of investors stated that they would not change the size of their portfolios this year, while 29% expressed their intent to wait and observe before making any further investments. Only 16% of respondents indicated that they would increase their portfolio size.

The main concerns for property investors revolve around legislative changes, such as tax reforms and new regulations, increasing interest rates and inflation, and the impact of Brexit on the economy and the housing market. These factors contribute to a sense of caution among investors and inform their decision-making processes.

Overall, the survey highlights the prevailing confidence in the UK property market among investors, as well as the importance of mitigating concerns posed by market dynamics and regulatory changes. Property investment, particularly in the HMO buy-to-let sector, continues to be an attractive option for investors seeking stable returns and long-term growth.