More news from the landlords survey we’ve covered in a previous post
Although this survey is nationwide, and particularly stresses the attractiveness of London, we feel the Liverpool rent a flat lifestyle, is currently very appealing to prospective landlords.
‘Our 2011 Landlord Survey confirms that buy to let remains an attractive asset class for savvy investors. Landlords are clearly positive about the future of buy to let and they have good reason to feel this way with rental demand growing as a result of a number of underlying drivers,’ said Bob Young, managing director at CHL Mortgages.
‘Clearly, a lack of credit, tougher lending criteria and higher deposit requirements are suppressing residential property ownership for many, which is resulting in considerable pent-up rental demand a real positive for the private rental sector,’ he explained.
‘With uncertainty in the equity and bond markets we can therefore expect more investors to reconsider buy to let as an alternative asset class; even more so if property prices continue to fall over the next couple of years. We can also expect some accidental landlords or investors who unfortunately bought the brochure pre credit crunch to exit the market if an opportunity presents itself, and existing landlords who are committed to the sector and eyeing up further purchases may well be able to enhance their portfolios as this happens,’ he added.
Meanwhile, a separate report shows that the surge in interest in central London rental property is continuing. According to WA Ellis there is a marked increase in students looking to get settled before the start of the new academic year in September. Due to the shortage of supply of studio and one bedroom flats to let, rents in this area of the market have increased by as much as 10% since the beginning of the year.
Expats are fueling the family house market with cases of three of four families bidding against each other. The short let market is also extremely active and this is set to continue over the summer months while people flock from all over the world to Henley, Ascot and Silverstone. With the Olympics this time next year, short let prices may well be six times more than they are today, it added.
In short… the rental market is positive if your an ‘accidental landlord’, you can capitalise on this as with the current lending crisis. This survey demonstrates that students and prospective buyers alike are fueling a demand for rental properties.
To rent a property in Liverpool, with it’s three universities, is a very attractive proposition at the moment.
Visit Bluerow Lettings if you have a property you’d like to rent.
