The UK’s student property market is experiencing a significant boom, with a growing number of students enrolling each year. This surge in demand has resulted in an imbalanced ratio of students to available student beds, making it a popular investment market at the moment. With rising demand from Chinese and American students seeking purpose-built student accommodations (PBSAs), the student property market in the UK is flourishing. Liverpool, in particular, stands out as one of the best places to invest in this market, thanks to its high demand driven by the presence of six universities in the city.
The Growing Demand in the UK Student Accommodation Market
The UK’s student market is thriving, driven by a steady increase in student enrolments year on year. With over 757,000 applicants for full-time undergraduate places through UCAS in 2022, 563,000 of whom were accepted. This trend is set to continue, with nearly 1 million university applicants expected in 2030 according to UCAS predictions.
Among the driving forces behind this boom are the rising numbers of international students, especially from China and the USA. Chinese students, 2.2 times more likely to live in Purpose-Built Student Accommodation (PBSA) than UK students, account for around 130,000 applications.
Additionally, applications from US students have increased by over 60%, with a preference for PBSA. This influx of international students presents a lucrative opportunity for investors, particularly in cities like Liverpool and Manchester with significant Chinese student populations.
The UK Student Accommodation Market Supply-Demand Imbalance
One of the key factors driving the popularity of the UK student property market as an investment opportunity is the current 3:1 ratio of students to student beds. The growing number of students enrolling each year has resulted in a significant undersupply of student accommodation, creating a highly favourable environment for investors.
High Occupancy Rates and Demand for PBSAs
The demand for purpose-built student accommodations (PBSAs) in the UK remains consistently high. Last year, PBSAs recorded an average occupancy rate of 98%, underscoring the strong and sustained demand for quality student housing.
Sustained Demand for the 2023/24 Academic Year
The demand for PBSAs in the UK remains robust, with 98% of all UK PBSAs already fully booked for the 2023/24 academic year, even three months before the academic year starts. This early booking trend emphasises the continuing attractiveness of student accommodations as an investment option. Our experts predict the trend to continue in the coming academic years.
Liverpool – A Thriving Market for Student Accommodation
Liverpool stands out as one of the best places to invest in the student property market. The city boasts six universities, including Liverpool Institute for Performing Arts, Liverpool Hope University, and the University of Liverpool, creating a high demand for student accommodation. With over 70% of the UK’s PBSA owned by universities, private investors are becoming essential in catering to the increasing demand for high-quality student dwellings.
Meeting Liverpool’s Growing Demand for Student Accommodation
Liverpool’s vibrant student community and the increasing number of university enrolments have created soaring demand for purpose-built student accommodation (PBSA). Among the developments stepping up to cater to this demand is Camden House, a purpose-built student accommodation project that offers exceptional value to Liverpool’s student housing market:
Unbeatable Location
Camden House enjoys a prime location in Liverpool city centre, strategically situated within walking distance of several prestigious universities. This central location is a significant advantage for students seeking convenient access to their academic institutions and other city amenities.
Catering to the Rising Demand
Camden House plays a crucial role in meeting the city’s surging demand for quality student housing. The limited supply of student beds compared to the increasing student population has created an opportune moment for investors looking to capitalise on this lucrative market.
Modern Amenities and Comfort
Camden House has been designed with student needs in mind, offering contemporary and comfortable living spaces. The development incorporates a range of amenities and facilities, ensuring an enhanced and enjoyable living experience for its student residents.
Camden House – A Lucrative Investment
Camden House stands out as an exclusive investment opportunity in Liverpool’s student property market, offering numerous benefits to investors seeking to capitalise on the growing demand for student accommodation:
Low Entry Cost and No Stamp Duty
With prices below the £125,000 threshold, Camden House offers a cost-effective entry into Liverpool’s student property market. Additionally, investors can take advantage of the absence of stamp duty on properties priced below this threshold, reducing upfront costs.
Assured Returns
Investors in Camden House benefit from a 7% guaranteed yield for a 10-year period, providing financial security and peace of mind during the early stages of investment.
Thriving Student Market
The buoyant student market in Liverpool and the UK, in general, has seen an average of 98% occupancy rates for PBSAs. Camden House, located in a city with six universities and a diverse student community, is well-positioned to attract a consistent stream of tenants.
Record-Breaking PBSA Investment
The UK PBSA sector has experienced a record £7.2 billion of investments in 2022, indicating strong investor confidence in the potential of student accommodation projects like Camden House.
Camden House offers an unparalleled investment opportunity in Liverpool’s booming student property market. Investors can benefit from its low entry cost, guaranteed returns, and excellent timing, making Camden House a compelling choice for those seeking to capitalise on the thriving student market in Liverpool. If you are interested in an investment in Camden House, please get in touch to speak to one of our agents by calling 01514339300 or emailing contact@advantageinvestment.co.uk.
To learn more about the UK student accommodation market and the Liverpool market, click below to…
📘 Download Student Investment Guide
📘 Download Liverpool Investment Guide
📚 Read Our Liverpool Student Market Blog
📚 Read Our UK Student Market Blog
If you have any questions or would like to explore investment opportunities please click here to get in touch with one of our experts.
