On the UP for Buy To Let Landlords

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02nd September 2011

On the UP for Buy To Let Landlords

Almost a quarter of landlords are feeling more optimistic about the prospects for their property portfolios, rental income and yields.

They are helped by a perception of availability of buy-to-let finance: 22% in the second quarter of this year said that it was reasonably available, compared with 17% in the first quarter.

According to Paragon Mortgage’s Q2 Private Rented Sector Trends Report, 23% of landlords feel more optimistic than was the case in Q1, particularly if they are professional landlords, with 30% stating they were more optimistic, compared with 15% of smaller-scale landlords.

On average, landlords expect to have 13.1 residential properties in their portfolios in a year’s time, compared with 12.6 properties currently.

This is the first time in two years that landlords have predicted an increase in the number of properties in their portfolios.

Nearly three out of ten landlords (29%) have increased rents during the second quarter, the majority of whom reported an increase of between 2% and 4%.

Landlords are also more optimistic about the net value of their portfolios, with a growing proportion expecting an increase in value (14% in Q2 against 13% in Q1), and fewer are forecasting declining values (12% Q2 vs 19% Q1). The majority of landlords (74%) expect net values to remain the same.

Also highlighted in the report is a shift in the types of property that landlords are looking to add to their portfolios during the third quarter. Of those looking to purchase during the quarter, terrace houses are the most popular choice, with more than half of landlords saying they expect to buy this type of property.

However, there have also been significant increases in the popularity of semi-detached houses (up from 28% to 41%) and detached (up from 9% to 22%).

Martin & Co has always concentrated fully on lettings & management and providing a professional first class service to landlords and tenants, that’s why since the first office opened 20 years ago, we still only let and manage residential property.

Source http://www.mortgagerates.org.uk

We let and manage a wide range of properties throughout the Poole area and whether you have a studio flat or luxury waterfront property our service goes above and beyond what our competitors provide. We’re fully focussed on letting, managing your property and providing top class advice to you.

If you would like to find out more about our service please call us on 01202 710171

Source http://www.lettingagenttoday.co.uk