# Town vs country – the investment dilemma  Author: Pal Sinha, Barnali Author URL: https://financedigest.com/author/pal-sinha-barnali Published: 2017-02-22 Category: INVESTING Category URL: https://financedigest.com/category/investing Meta Title: City Centre vs Countryside: Where to Invest for High Returns Meta Description: Discover the benefits of city centre buy-to-let developments, interior design for landlords, and newer asset classes in the countryside. Explore which URL: https://financedigest.com/town-vs-country-the-investment-dilemmahtml ![undefined](https://prod.superblogcdn.com/site_cuid_cm5qst7v3003gwirgwqtxn8i8/images/1-29-1736844165863-compressed.jpg) - **Risk-averse investors drawn to city centre buy-to-let developments (Aspen Woolf)** - **Interior design giving landlords the edge (Alexander James Interior Design)** - **Strong returns tempting investors to newer asset classes in the countryside (Properties of the World)** ![Town vs country - the investment dilemma -2](https://prod.superblogcdn.com/site_cuid_cm5qst7v3003gwirgwqtxn8i8/images/2-16-1736844165723-compressed.jpg) There’s an age-old [debate](https://www.financedigest.com/macron-le-pen-clash-over-cost-of-living-in-french-election-debate.html "Macron, Le Pen clash over cost of living in French election debate") about whether city living trumps country living, or vice versa. UN figures show that our world is gradually becoming more urban, with 54% of the global population [currently residing in urban areas](https://www.financedigest.com/area-rug-market-study-current-scenario-and-forecast-to-2027.html "Area Rug Market Study – Current Scenario and Forecast to 2027"). The figure is [projected to rise](https://www.financedigest.com/emission-control-catalyst-market-is-projected-to-rise-at-above-10-cagr-surpassing-the-market-valuation-of-us-20-06-bn-during-the-forecast-period-2021-2031.html "Emission Control Catalyst Market is projected to rise at above 10% CAGR, surpassing the market valuation of US$ 20.06 Bn during the forecast period 2021-2031") to 66% by 2050, emphasising the pull of the city on those seeking economic opportunities and a wealth of cultural and entertainment options. Just as [city and country living appeal differently to different folks](https://www.financedigest.com/premium-bicycles-win-new-fans-among-chinas-city-folk.html "Premium bicycles win new fans among China’s city folk"), so too do the prospects of investing in such diverse locations. **“Investors looking for city centre properties tend to be those who are keen for long-term returns with [lower risk.](https://www.financedigest.com/evergrande-jitters-pull-risk-currencies-lower-dollar-gains-on-safety-bid.html "Evergrande jitters pull risk currencies lower, dollar gains on safety bid") They’re seeking an established asset class – buy-to-let – which has been around long enough to be proven as a model that generates consistent yields. The solidity of the asset class is paramount, even over and above considerations like the tax relief reductions for landlords, which the government is phasing in from 2017 onwards.”** ![Oliver Ramsden](https://prod.superblogcdn.com/site_cuid_cm5qst7v3003gwirgwqtxn8i8/images/3-3-1736844165701-compressed.jpg) Oliver Ramsden **_Oliver Ramsden, Founder and Director,_** [**_Aspen Woolf_**](http://r20.rs6.net/tn.jsp?f=001F75EdM7VGelUJpQata6tKrZtS1DXjl_gD9t_oEES_srKZ-QnriBZycY4J9sw9iRbnxZp1kdY3Bt4lomMNGzahl22ga7E3fIpQRHZyajbKL4oc1ze2FfWWxP6T5y3VHBbd3cIaMNTnvBXxY1xvnJziq3XaTpfVP-CxDuv1v_Da8r3SbCGlwOJYQ==&c=4b3nTvLag2zdNc_F0J-OYZbv_1a85-_6tWpwjzoJwpkrRD4Sbwtc8A==&ch=dVGf9_xeRP-m-rYXFYpvib1MjYsfq28NB1EFf-6rwlYoJIzrmA9eQw==) As well as buy-to-let [investors](https://www.financedigest.com/the-rising-power-of-retail-investors-how-individual-traders-are-shaping-the-stock-market.html) looking for brand new developments, cities tend to attract those investors who want to take an active role in their [property investment](https://www.financedigest.com/the-hidden-costs-of-property-investment.html "The Hidden Costs of Property Investment"). Buying a house and refurbishing it can result in capital gains as well as healthy rental yields and many investors enjoy the buzz of [managing their own properties](https://www.financedigest.com/how-to-get-started-in-the-world-of-property-management.html "How to Get Started in the World of Property Management"). It can be a competitive occupation, and those at the forefront of the industry are continually seeking new ways to ensure that their properties stand out from the crowd. Engaging professional [interior](https://www.financedigest.com/the-automotive-interior-materials-market-to-undergo-decisive-technological-advancements.html) design consultants is the hottest new trend. **_“We are working with a [growing number of individuals who never imagined they would be employing interior designers to create a beautiful interior for their home. Interior design used to be the preserve of the very wealthy. Now, there’s a growing trend](https://www.financedigest.com/global-animal-pregnancy-test-kits-market-2021-swot-analysis-drivers-restraints-growing-opportunities-latest-trends-applications-and-forecast-to-2028.html "Global Animal Pregnancy Test Kits Market 2021 SWOT Analysis, Drivers, Restraints, Growing Opportunities, Latest Trends, Applications And Forecast To 2028") for people at every level of the property ladder to use expert services of this nature.”_** ![Robert Walker](https://prod.superblogcdn.com/site_cuid_cm5qst7v3003gwirgwqtxn8i8/images/4-1736844165735-compressed.jpg) Robert Walker _**Robert Walker, Managing Director,**_ [**_Alexander James Interior Design_**](http://r20.rs6.net/tn.jsp?f=001F75EdM7VGelUJpQata6tKrZtS1DXjl_gD9t_oEES_srKZ-QnriBZye2YVd2yAmDyq09miH1ffb5d9lYkPmG5YbF9VRDmUqoFQavjNUOtGpyh3k4MFbLxdDkSGnKsilaXe-RBvXPrv4TSIXNq85FglqFB-IXX0BCC9D0q4GrjwFg=&c=4b3nTvLag2zdNc_F0J-OYZbv_1a85-_6tWpwjzoJwpkrRD4Sbwtc8A==&ch=dVGf9_xeRP-m-rYXFYpvib1MjYsfq28NB1EFf-6rwlYoJIzrmA9eQw==) Those [investors](https://www.financedigest.com/the-rising-power-of-retail-investors-how-individual-traders-are-shaping-the-stock-market.html) who favour [properties](https://www.financedigest.com/some-uk-property-funds-defer-investor-withdrawals.html "Some UK property funds defer investor withdrawals") in the countryside tend to have a different focus than their city investor counterparts. They’re prepared to take on [newer and more innovative asset classes in the pursuit of higher](https://www.financedigest.com/mcdonalds-sales-soar-on-higher-u-s-prices-newer-menu-items.html "McDonald’s sales soar on higher U.S. prices, newer menu items") returns and lower taxes. **“Hotel investment can generate excellent yields, and buyers are free from the concerns of Stamp Duty Land Tax and the hit to income that void periods can cause. Strong returns and fewer taxes to worry about is an attractive combination. Many countryside investments also come with a personal usage element, meaning that investors essentially get two weeks of free** [holiday accommodation thrown into the deal each year.”](https://www.financedigest.com/100-years-of-uk-holidaying-habits.html "100 YEARS OF UK HOLIDAYING HABITS") **_Jean Liggett, CEO,_** [**_Properties of the World_**](http://r20.rs6.net/tn.jsp?f=001F75EdM7VGelUJpQata6tKrZtS1DXjl_gD9t_oEES_srKZ-QnriBZyfyq2zYw3OENthPqm60owKh6mwJ951UOE0uQ_HFvU2vhP9mqF8uweXZ51tdaC6SSTSy5usj-1zV0TscYckY9-iUsJSR2WAq5HU73u3UlchzrBukRDCzpAWbMgHLil8zB-s3tCB1t0E31&c=4b3nTvLag2zdNc_F0J-OYZbv_1a85-_6tWpwjzoJwpkrRD4Sbwtc8A==&ch=dVGf9_xeRP-m-rYXFYpvib1MjYsfq28NB1EFf-6rwlYoJIzrmA9eQw==) ![Jean Liggett](https://prod.superblogcdn.com/site_cuid_cm5qst7v3003gwirgwqtxn8i8/images/5-1736844165712-compressed.jpg) Jean Liggett The restrictions on [tax relief](https://www.financedigest.com/what-is-inheritance-tax-share-loss-relief.html "What is inheritance tax share loss relief?") for residential landlords has the potential to mark a step-change in investor preferences. From 2017 to 2018, only 75% of finance costs will be deductible from rental income. The figure will reduce annually, until it reaches 0% for the 2020 to 2021 financial year. As city centre buy-to-let developments become gradually less profitable for all those other than cash buyers, will [former city investors head](https://www.financedigest.com/italy-names-former-treasury-official-to-head-ita-airways.html "Italy names former Treasury official to head ITA Airways") for the hills? Only time will tell. **On the market:** **The perfect city investment:** Set on the edge of the vibrant Liverpool city centre, the [New Eldon Grove](http://r20.rs6.net/tn.jsp?f=001F75EdM7VGelUJpQata6tKrZtS1DXjl_gD9t_oEES_srKZ-QnriBZybMxj0dZq99yoZXnbq5G48vuHG8QOXYsQ_S2kcafN3vLUyr1b6qY3nro7KB-tBvNyoEKIR3Nxx4YnycYKAptPIfMYhfNouegaMU0lPkGXmbwC7KATOd6Hy8xzy38DOSt4MdlW0qcp1w7uh9ey_Mhs3kY_DYoyoMODHNNO604zlNh&c=4b3nTvLag2zdNc_F0J-OYZbv_1a85-_6tWpwjzoJwpkrRD4Sbwtc8A==&ch=dVGf9_xeRP-m-rYXFYpvib1MjYsfq28NB1EFf-6rwlYoJIzrmA9eQw==) offers the perfect balance of past and present comprised of 45 apartments including 1,2 and 3 bedroom units. Carefully designed to preserve the heritage of the site while serving the needs of a new generation, from just £94,950, New Eldon Grove provides [investors with an assured](https://www.financedigest.com/apollo-assures-investors-deposit-flight-wont-spill-over-to-athene.html "Apollo assures investors deposit flight won’t spill over to Athene") 2-year NET rental of 7%. **Escape to the country:** In the Valleys of South Wales, [lodges](http://r20.rs6.net/tn.jsp?f=001F75EdM7VGelUJpQata6tKrZtS1DXjl_gD9t_oEES_srKZ-QnriBZyQw5nVFrwICYOqiSR_9-D6glCyUIRUqapLP51ixWOMLhsPkF_1p0RNpuY9Y-X7F7QZ1p7hdT6Nd1OQCgqawtG-IBvfcJsEpfoERE9hj8teKF8oQuKkdtP0lXeZUGCAvURdT63RvEwqS126QKc0vWdn0Mrsjq42-iO5xYL5UHQ_UW-2Am6q398YM=&c=4b3nTvLag2zdNc_F0J-OYZbv_1a85-_6tWpwjzoJwpkrRD4Sbwtc8A==&ch=dVGf9_xeRP-m-rYXFYpvib1MjYsfq28NB1EFf-6rwlYoJIzrmA9eQw==) and [land plots](http://r20.rs6.net/tn.jsp?f=001F75EdM7VGelUJpQata6tKrZtS1DXjl_gD9t_oEES_srKZ-QnriBZyZ4Fvp8bWeCADZ7Be2WknXdxd6ONhrKmIN_5H2IOGBvfSj-i5e69ostUeiCoBY2H-j07yVcm6_cyk4j71zh0-VooK9vIyEPkfsFSCgohscWm47_h9pH5ttcTZXw0sUAIBVzIt-BraxtViRfVzkLy44Bvys38nJplMQebJJutwDCSewNRzELaZQg=&c=4b3nTvLag2zdNc_F0J-OYZbv_1a85-_6tWpwjzoJwpkrRD4Sbwtc8A==&ch=dVGf9_xeRP-m-rYXFYpvib1MjYsfq28NB1EFf-6rwlYoJIzrmA9eQw==) at Afan Valley Adventure Resort allow [investors](https://www.financedigest.com/the-rising-power-of-retail-investors-how-individual-traders-are-shaping-the-stock-market.html) to be part of a thrilling new adventure experience. Lodges are [priced from £149,000 and offer 8% NET returns for seven years](https://www.financedigest.com/with-uk-food-price-inflation-at-46-year-high-lawmakers-launch-probe.html "With UK food price inflation at 46-year high, lawmakers launch probe"), with two weeks’ personal usage. Land plots offer a mark-up of 10% per annum for three years, from just £25,000. Both available through Properties of the World. --- This blog is powered by Superblog. Visit https://superblog.ai to know more. ---