Good Newsweek – Biggest Proportion In Landlords Expansion Plans In 4 Years
For the first time since 2017 the numbers of BTL investors planning to increase their portfolios is higher than those who are either selling up or reducing their properties.
A BTL specialist lender’s researchers polled around 900 landlords asking them about whether they were planning to reduce or increase their portfolios in the next 12 months, with 19% stating they were going to buy more properties.
Those landlords who have larger property portfolios are more than likely to increase their portfolios with 31% who own 11-19 properties and those with 20 + properties 28% planning to ‘expand’ over the next twelve months.
There are regional differences in buying activity with above average numbers of landlords with properties in the East Midlands as 26% are increasing their portfolios, and 24% in the North East.
However in Wales, although landlords reporting of much higher tenant demand for ‘residences’, 28% who took part in the survey said they would be selling their properties by next year.
According to the research only 17% of landlords are planning to sell one or more properties during 2022, which has dropped from the last six months and sees a return to the same level in Q2 2020 just when the Covid restrictions kicked in.
A spokesperson for the BTL lender said: “News that for the first time in over four years more landlords are intending on buying than selling is fantastic. This is because not only is it good for the industry but, more importantly, it’s good for tenants. More investment in the private rented sector contributes to higher standards, a moderation of rents and more choice for the millions who rely on the private rented sector for flexible, affordable housing.
“During the uncertainty of the past year or so, the role of the private rental sector has become increasingly important, evidenced by the extremely high levels of demand we have seen for some time now, it’s great to see landlords are responding to this.”