Overseas Investors Thinking of Investing in UK Real Estate

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Can Anyone Invest in a UK Real Estate Even Without a UK Passport?

Yes. Foreign individuals (over the age of 18) and corporate entities (subject to being registered at Companies House) may purchase or invest in UK real estate.

What Types of Investment can be made?

There are many ways to invest in UK real estate. Some of the more conventional routes in England and Wales include:

Ownership of a legal “estate” in land to realise capital appreciation
An estate is an abstract entity carried on from medieval times and used to describe iceland mobile database nothing more than time in the land. The most common forms of estate ownership are freehold (owning land in perpetuity or “forever”) and leasehold (owning land for a number of years). Generally a term of years in a lease of property will be born out of a freehold estate or a leasehold estate for a term longer than the one in question. The owner of a term of years in a leasehold interest will be a tenant.

Buy to let investments
A purchaser can acquire a freehold or leasehold interest (as above) specifically to rent it out to reap the rewards of a rental income. An investor will be looking closely for high net yields when deciding what to invest in and where.

Real Estate Investment Trust (or REIT)
Providing an easier and lower cost way to invest in property, a UK REIT (often holding a portfolio of property) provides a way to invest in buy-to-let property without having to buy property directly. UK REITs benefit from an exemption from UK tax on both rental income and gains relating to their property investment business allowing them to redistribute up to 90% of rental income to their shareholders.