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There has never been a better time to invest in buy-to-let housing in Lincoln, according to the city's Lighthouse Property Services.

The property management firm says that low house prices and reduced interest rates have created an opportune time for those seeking a secure long-term financial investment.

Mortgage rates as low as 2.3% are available to buyers prepared to ride out the recession and capitalise on the current economic climate and are encouraging investors back to the property market.

In a survey published in this week (10th March) by The Royal Institution of Chartered Surveyors 23% more surveyors in the East Midlands reported a rise in buyer enquiries, up from 13% in January.

It also indicated that investors with finance continue to look for bargain opportunities, having returned to the market. Lighthouse Associate Jonathan Lee maintains they have seen a similar trend.

Jonathan said: "We've certainly received more enquiries from potential investors in 2009. Property is keenly priced at the moment and sellers are motivated so offers are being made and deals are being negotiated.

"There is no quick fix for the housing market but in 12 months I think the economy will stabilise and prices will begin to rise again. For now though, property is a better return on investment than leaving your money in savings and it is safer than stocks."

Investor Nick Foulkes and his mother Susan have a 20-strong property portfolio, seven of which are located in Lincoln.

Having acquired several properties in 2008, Nick says the recession has not deterred them from investing and they are currently on the lookout for their next housing venture.

Nick said: "In my mind it's a prime time for investing as property is well priced and the yields to be had are good. What's difficult, however, is raising credit and we're currently exploring offshore financing options to see if that will work so we can capitalise on today's retail prices.

"I've always seen property as a long-term investment so everything I do is on 20-year cycle. There are two aims for our investments: for me it is for short-term income and long-term to fund my retirement and for my mum it provides an income to supplement her pension."

Lincoln continues to have a good supply and demand in the rental market despite figures issued by property index firm Globrix last month (26th February) showing that UK homeowners, unable to sell their properties, are flooding the rental market.

Jonathan added: "First-time buyers unable to secure mortgages due to the high deposits needed have turned to renting properties, creating more potential tenants for Lincoln's lettings market."

One avenue open to local investors wanting the added security of a guaranteed immediate income and reduced initial financial outlays is properties sold with tenants already in situ.

Jonathan explained: "Because of the unstable economic climate people are staying put so properties with tenants already in them are a good prospect for those looking to invest and are looked upon favourably by lenders."

Lighthouse offers a range of investment buy-to-let opportunities and provides a full property management service to landlords.