YIELDS will hit record low levels of around 6 per cent this year and may even drop below this level before April 5th, according to Mr Liam Lenehan, investment director of Hamilton Osborne King. He told a conference in Dublin that all the ingredients for tax-based property investments were positive at present, resulting in the current strong market, which would push yields still lower this year.

Referring to the Government's current policy review, he said the Exchequer should allow unitisation to allow small investors to come together in syndicates to invest in property. "This has the potential to unlock an otherwise relatively untapped but deep source of private funds for property investment."

HOK and Deloitte and Touche launched a new booklet, A Guide to Tax Incentives for Property, at the conference.