Buy-to-let market 'still vibrant' Published: 01/10/2008

Buy-to-let market 'still vibrant'

Reports of the death of the buy-to-let property market have been vastly exaggerated, according to the National Landlords Association.

Commentators have been quick to suggest that the nationalisation of the mortgage business of Bradford & Bingley will inevitably lead to the end of the lucrative buy-to-let market.

But research by the National Landlords Association reveals that less than 30 per cent of landlords actually use buy-to-let mortgages to finance their property, leaving many private landlords unaffected by the nationalisation.

They also suggest that the expansion and of the EU will mean immigrants will continue to move to the UK, pushing up demand for rental property.

Additionally, around 2.5 million students are now in university education, meaning many are looking to rent property.

Commenting, Simon Gordon, head of communications at the National Landlords Association, said: "It is simply not true that the nation's landlords are now facing some sort of crisis.

"For the cautious and mature investor who has bought the right property in the right location, they will be seeing an increase in rents and can expect demand to keep climbing. This kind of market is not for the feint-hearted and the landlords who may be struggling may well be the more recent entrants with more highly geared portfolios."

Search now for a letting agentADNFCR-1568-ID-18804858-ADNFCR  © Copyright.

Other news that may interest you

Advice for landlords

Reluctant landlords 'bad for the property market'

Reluctant landlords 'bad for the property market'

The rise in the number of reluctant landlords on the property market is a potential threat to renters, according to an industry body.Read more on this article

More renters 'will default' on payments

More renters 'will default' on payments

There will be an increase in the number of tenants who will fail to meet their monthly rent, landlords have been warned.Read more on this article

Buy-to-let investors turn to higher income properties

Buy-to-let investors turn to higher income properties

Buy-to-let property investors are turning to higher income properties to help them survive the current economic climate.Read more on this article

UK Property to buy