Property investment returns are booming according to the Richard Ellis St Quintin index.
The annual total returns for all property on the Richard Ellis St Quintin monthly index rose to 11.6 per cent in October from 11.2 per cent in September.
This is the highest level since November last year.
Over the same period, annual growth increased to 3.9 per cent from 3.4 per cent. The short term indicator shows 6.2 per cent annualised growth for the past three months.
Annual rental growth remains steady at 4.9 per cent and has been within the 4.8 – 5.0 per cent a year range for the last six months.
Head of UK Research Peter Damesick says: “On present trends, property returns should top 13 per cent for 1999 as a whole, which will be a strong performance compared to other assets.”