Buy to Let landlords are standing steadfast and are maintaining their portfolios of rental property. This, despite the fall in house prices and the current doom and gloom predicted for the economy generally by financial experts is a sure sign that the buy to let market remains vibrant.
No surprise really, when you consider the difficulty in obtaining a mortgage for most prospective home buyers as well as expectations by the general house buying public that house prices will continue to fall. Renting a property rather than buying in these unsteady economic waters remains an attractive proposition to landlords and tenants alike.
Only a tiny minority of landlords (appx 1.3%), expect to sell their buy to let property due to the current economic conditions. We can expect some to alter their buy to let portfolios, while ARLA information suggests an expected four out of ten landlords to increase their buy to let portfolios during the next year.
Latest figures indicate a lower Loan to Value ratio than generally reported. Perhaps more importantly the research shows an increase in the length of time landlords expect to retain their properties. ARLA points out that it is only the individual Buy to Let landlords who are investing in housing at the moment.
The noise coming out of the buy to let market has remained robustly positive as landlords report that they expect to retain their property investments for the best part of twenty years.
A quote from ARLA's Head of Operations, Ian Potter, "Buy to Let landlords are confirmed as prudent investors for the long term. These investors understand the realities of the investment market they have chosen. This understanding would appear to be far greater than the understanding shown by investors in many other markets and is proving to be a bonus for the nation's housing problems. There is no one else investing in residential housing at the moment."
The data, from which the quarterly ARLA surveys of letting agents and landlords is generated was drawn in May 2008. 444 lettings offices and 289 investment landlords were surveyed and this is the largest quarterly survey of the rental market.
All surveys are available by visiting http://www.arla.co.uk
LetSafe (UK) Ltd providing landlords and letting agents with products, services and news on their industry.
No surprise really, when you consider the difficulty in obtaining a mortgage for most prospective home buyers as well as expectations by the general house buying public that house prices will continue to fall. Renting a property rather than buying in these unsteady economic waters remains an attractive proposition to landlords and tenants alike.
Only a tiny minority of landlords (appx 1.3%), expect to sell their buy to let property due to the current economic conditions. We can expect some to alter their buy to let portfolios, while ARLA information suggests an expected four out of ten landlords to increase their buy to let portfolios during the next year.
Latest figures indicate a lower Loan to Value ratio than generally reported. Perhaps more importantly the research shows an increase in the length of time landlords expect to retain their properties. ARLA points out that it is only the individual Buy to Let landlords who are investing in housing at the moment.
The noise coming out of the buy to let market has remained robustly positive as landlords report that they expect to retain their property investments for the best part of twenty years.
A quote from ARLA's Head of Operations, Ian Potter, "Buy to Let landlords are confirmed as prudent investors for the long term. These investors understand the realities of the investment market they have chosen. This understanding would appear to be far greater than the understanding shown by investors in many other markets and is proving to be a bonus for the nation's housing problems. There is no one else investing in residential housing at the moment."
The data, from which the quarterly ARLA surveys of letting agents and landlords is generated was drawn in May 2008. 444 lettings offices and 289 investment landlords were surveyed and this is the largest quarterly survey of the rental market.
All surveys are available by visiting http://www.arla.co.uk
LetSafe (UK) Ltd providing landlords and letting agents with products, services and news on their industry.
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