Landlord Confidence Continues to Grow

25 July 2012 Categories: News

Landlord Confidence Continues to Grow

A recent survey conducted by Mortgages for Business has shown that over 60% of the landlords and buy to let investors questioned are intending to add to their property portfolios within the next six months, proving that confidence in the private rental sector is still very high. To compound this fact only 3% of the respondents were intending to sell property and scale down their portfolios – a drop of 3% from the previous survey results of six months ago.

Furthermore, of those looking to expand their portfolios nearly 85% will be considering simple residential properties over HMOs and commercial properties. This is, of course, understandable as it is simple residential property that currently commands the highest level of demand and considerable rental yields.

Managing director for Mortgages for Business, David Whittaker, said about the findings, “Landlord appetite for buying residential property is high. This will support the private rented sector and ease the strain on would be renters chasing too few properties.”

He then added, “There are a huge number of would-be owners being displaced into the rental market every year, which has kept tenant demand sky high and pushed yields on private rental property over the six per cent threshold.”