Good News for UK Landlords in 2012

29 December 2011 Categories: News

Good News for UK Landlords in 2012

The latest Housing Market Forecast released by RICS has proven to be good news for landlords throughout the UK. According to the forecast the price of residential properties is predicted to fall by around 3% during 2012, but the number of property sales is only likely to see a small resurgence.

So what does this mean for landlords in the private rental sector?

Firstly it means that buy to let properties will become slightly cheaper to purchase; a fact that may entice more buy to let mortgage lenders to enter the buy to let market. The news also means that even with the dip in property prices, the demand to purchase a residential property will remain low and the demand for private rental properties will remain high.

It seems therefore that 2012 is set to be a promising year for current buy to let landlords and those who are considering entering the market for the first time. The demand for privately rented accommodation is higher than it has ever been, and similarly rental incomes are also at their highest point for several years.

If the predictions made by RICS come to fruition then the private rental sector is definitely the place for investments in 2012.