Best places to invest:

Property investors looking to invest in the buy-to-let market may wish to consider buying property in Luton and the surrounding area, which currently offers the best return on investment, new research shows.

According to the latest buy-to-let index, Luton in Bedfordshire is currently the most profitable area in the UK for buy-to-let landlords, with rental prices increasing by almost 9.5%, the largest increase in the country.

On an annual basis landlords in Luton generated just under a 5% yield, while home prices rose by 14% and experienced rental price growth of 9.58%.

Other areas to perform well included Stevenage, Enfield, Northampton, Dartford, Southend-on-Sea, Romford, Chelmsford, Southall and Twickenham.

There are a host of different factors that investors will want to take into account before buying a property. The big one is of course capital values - you want to buy a property that is going to increase in value during your ownership. The prospects for further house price growth in these areas is good - we still aren’t building anywhere near enough homes in the UK - but there are regional differences to take into account.

With all the tax changes coming into force next year it is vital for landlords to buy in the best areas to achieve the maximum possible returns.

If you are looking for a new or re-mortgage please do make contact and one of our fully qualified adviseres will be happy to assist