Have you heard of ‘Granlords‘?
Maybe not yet, but I’m sure you will soon. It’s a nickname being given to a new, emerging group of people who are making a pretty significant contribution to property prices in the UK.
Because recent pension reforms have meant that anyone over the age of 55 can withdraw cash lump sums from their pension. And a lot of the pre-retired are taking advantage of this to put down large deposits on buy to let property in the hope of it significantly improving their final pension pots.
It is such a phenomenon that even in these weeks before the general election (when property generally slows due to some levels of uncertainty) property prices are remaining buoyant.
So the buy to let market is (people are predicting) about to become flooded with these new landlords or granlords! And they are tending to target the lower-end properties (typically those that a first time buyer might be looking at) because they offer better returns for a lower initial deposit.
Personally, I’ve always advocated buy-to-let as a genuinely impressive investment vehicle. So whether you fall into the category of ‘granlord’ or whether you’re just looking for an alternative investment our case study‘s make great research and provides a for a few more ideas on the subject and see if it’s something that might suit you.