Two Thirds of Landlords Plan to Purchase New Buy-to-Let Properties

An investor survey from specialist buy-to-let mortgage broker, Mortgages for Business, anticipate that property portfolios will expand at an accelerating pace over the rest of 2015.

Figures show that as of April 2015, 65 per cent of UK landlords are looking to purchase at least one further property in the next six months, in comparison to the 55 per cent in November 2014. Further statistics show that just 8 per cent of landlords are currently planning to sell any property over the next six months.

David Whittaker, managing director at Mortgages for Business, said:

"Landlords are better capitalised and now more confident about reinvesting. A strong rental market is being driven by tenants moving to make the most of job opportunities, and now gradually starting to earn more too. That new surge of demand is putting more upwards pressure on rents, and landlords are only just beginning to supply more homes to let in response.

"On top of this, after the surprise stability of a majority government, landlords will almost certainly see a short-term boost of house price growth - while the threat of damaging regulation has been lifted for at least the next five years."

It appears that landlords are changing their approach to borrowing, with more than 26 per cent currently preferring a variable rate deal for a new buy-to-let mortgage, which has risen from 23 per cent in November of last year.

In addition to this, due to restrictive lending criteria, only 30 per cent of landlords are saying that mortgage lenders are providing enough support to them. As a result 20 per cent say that mortgage lenders should be lending more and also reducing the record-low mortgage rates further.

If you need help with buying or selling commercial property, contact our commercial conveyancing solicitors on 0161 720 7200 for advice.

HCB Ross Legal

Commercial Conveyancing Solicitors