Buy To Let
Investing in care homes on the rise
With an aging population, demand for care homes in the UK is increasing and the number of investors looking to benefit from this growing sector is rising accordingly.
According to a new report, Halls, hotels and care homes: the changing face of UK property investment, published by BuyAssociation, care home investment is proving to be a popular choice for people searching for a steady income stream, and choosing wisely can lead to very healthy returns.
They’re also tax efficient; as care homes are classed as commercial assets, they can be included in Self-Invested Personal Pensions.
The report points out that the number of people aged 65 and over is forecast to make up 23% of the UK population by 2035.
Therefore the demand for residential care homes and nursing homes continues to grow apace.
A lack of bank lending for new construction in this area means that it’s opened up to private investors and funds, and as the NHS frequently pays more than 50% of the revenue per home, it’s seen to provide more security than other forms of buy-to-let investments.
To read the full report, Halls, hotels and care homes: the changing face of UK property investment, click here