Landlords positive about the buy to let sector

It’s great to see that private sector landlords in the UK are confident about the future, with 67 per cent feeling ‘positive’.

A new survey carried out by CHL Mortgages shows UK landlords are particularly confident about rental demand with almost half (43 per cent) saying it is now better than six months ago and is enough to cover mortgage repayments, maintenance and cost.

It appears that yields have actually accelerated since the credit crunch. A number of factors have resulted in this – the difficulty in securing a mortgage, first time buyers waiting longer to get onto the housing ladder and uncertainty in the labour market resulting in more people renting rather than buying so that they have the flexibility to move around if necessary.

All of these factors mean more landlords are feeling confident about expanding their portfolios, although, a lack of finance still prevents many from doing so. The high deposits needed are also a barrier for many landlords but conditions are improving with credit starting to become available.

As rental demand continues to grow, landlords have every reason to feel positive about the future. If you do expand your portfolio, get in touch with Legal 4 Landlords if you ever have issues with tenants. We’ll handle any problems quickly and efficiently.