
People who have ploughed their money into real estate assets are likely to find that this class has outperformed other sectors in terms of the return generated on the initial outlay. The most recent House Price and Affordability Index published by FindaProperty.com revealed that UK property values have risen by 2.1 per cent since the start of 2011.
The organisation noted that this is roughly in line with inflation and when combined with the low interest rate environment in the county, this means real estate has performed better than both instant access savings accounts and the FTSE 100. Property analyst for the company Samantha Baden commented: "In the current economic climate, against a backdrop of high inflation, even maintaining the value of an investment can be difficult, but for 2011 so far, the property market has managed to deliver this."
Earlier this month, head of investment management at London Central Portfolio Hugh Best pointed out that investors from nations such as South Korea, Singapore and Malaysia are increasingly attracted to the UK's real estate sector due to favourable foreign exchange rates.