Why student property will survive the slings and arrows of Brexit

Why student property will survive the slings and arrows of Brexit

Now that the country has decided to leave the EU, property investment has taken a bit of hit whilst everybody waits for the dust to settle. In light of this momentous decision, what will be the most resilient property investment asset to put your money into? Here is why we think student property is a fairly safe bet in today’s uncertain climate:

  • Although there is a strong likelihood that Brexit will have an impact on visa requirements and price increases for EU students, the UK gets most of its students from Asia and the Far East which will not be affected by this decision. It will be students from outside of the EU which will make up any short fall.
  • Cost is only one of the factors when it comes to studying for a university degree. Many of the world’s top universities are based in the UK and the prestige that is associated with obtaining a degree from a top UK university will not go away. This is what attracts students from Asia and the Far East and this is unlikely to change.
  • Many companies have held off investing until the result of the EU Referendum was known but Knight Frank, the property specialists, have not seen a drop-off in investment in student property prior to the referendum despite fears of Brexit. Now that the UK leaving the EU is a reality, Knight Frank do not anticipate any downturn in the number of students coming to the UK.
  • The current low rate of sterling is likely to attract more students to the UK who will seize the opportunity of more affordable tuition rates.

In light of the above, the demand for student property will still be there and there are numerous opportunities for investors to achieve very attractive yields in this resilient market. Contact us now if you are interested in student property investments and we will advise on the best course of action to take.