UK Land for sale prices have increased exponentially in past few years and it is increasingly being seen as a good investment option by enterprising investors.
While traditionally such investments have been carried out by cash or cheque now many land banking firms have increasingly started to push SIPP as an alternate investment route.
General opinion is that allowing Self Invested Personal Pensions (SIPPs) are likely to make the UK Land for sale market more lucrative but according to a latest survey by RICS (the Royal Institution of Chartered Surveyors) it is likely to have minimal impact on the majority of the market. The report also warns potential investors to be on the lookout for inappropriate financial products.
New work by RICS forecasts a steady flow, rather than a mad rush, of property into SIPPs. Also a study of potential users for such avenues by RICS presents the profile of existing second home owners (male, higher-rate taxpayers aged between 45 and 64) which are likely to be already exposed to the property market through buy-to-let and thus less interested in any further risky schemes regardless of potential benefits.
RICS Chief Executive, Louis Armstrong, said:
‘Reports of a mad rush of property to SIPPs are exaggerated. The size of the housing market means that demand can be readily absorbed in most areas. But investors should be selective, watch out for “get-rich-quick schemes", and take proper professional advice - preferably from a chartered surveyor. "
Flow of money from SIPP to property is thus likely to remain subdued in foreseeable future.
Thus it is advisable for potential investors to make there investments decision carefully and while prices for UK land for sale are sure to increase it is important that investments should be made only in established firms.
Land For Sale in the UK.