A new survey by property bridging broker Finbri has found that a majority of UK business owners are in favour of investing in property in 2023.
Over 80% of the respondents plan to invest in residential, commercial, and semi-commercial property within the next year, with the most favourable option being residential property.
The results show that 84.10% of business owners believe now is a good time to invest in residential property, while 80.43% think the same for commercial property, and 80.31% for semi-commercial property.
The positive outlook on property investment comes as additional finance options become available, and a less competitive market allows business owners to explore new opportunities.
Stephen Clark, from Finbri, said: “Investing in property has been a go-to for landlord entrepreneurs and business owners alike for two decades. The uplift in capital growth has created a lot of wealth, so it comes as no surprise companies continue to seek out these opportunities.”
Property investment offers benefits such as building wealth, achieving financial security, and providing a regular income in the form of rental income.
It can also help diversify investment portfolios, allowing businesses to spread the risk of other asset classes. Moreover, equity in property can be accessed relatively easily through refinancing, and tax deductions on commercial properties can help save money on rent.
However, investing in property also comes with risks, such as fluctuating property values, increasing interest rates, potential financial shortfalls, and upfront costs. As a result, businesses should carefully consider these factors before investing in property.
Despite concerns about the UK economy and economic stagnation, UK business owners remain optimistic about investment possibilities over the next 12 months.
Finbri’s survey shows that 81.85% of respondents expect an increase in their number of employees, and 77.82% believe there will be an increase in asset investment within the next year.
While some large global corporations like Amazon, Google, and Meta are cutting back on investments and employment numbers, UK business owners are overwhelmingly in favour of investing in property in 2023.
