And property advisors agree that buy to let investment is back in vogue. Yet the question still remains: is now the perfect time to get into property investment?
Let’s take a look at the statistics:
Tenants are on tap!
- 64% of property landlords may have been reporting stable demands for property lets; however according to LSL Property Services 24% have witnessed increased demands
- Tenant arrears have dropped for the second consecutive quarter in a row, bringing them down by 10% - its lowest since 2008
- 33% of landlords believe tenancy demand will increase considerably over the next 12 months
What is the value of your property portfolio?
According to Paragon Mortgages, the average value of a property portfolio has jumped by 6.1% in the last 3 months to £1.52m.
Asking property investors their opinion on this issue, 73% believe that the value of their property portfolio will remain stable whilst 19% expect it to rise.
Rental yields too have remained stable despite recent inflations in property prices, swinging between 6% and 6.2%.
More good news
Property investors who are ready to take the risk with their property investments have now got a long list of long-term indicators to back them up. Continuing in their study, Paragon Mortgages noted:
- A drop in the last decade between the proportion of property owners in owner-occupation and social houses to those choosing to rent
- There are more single person households, economic migrants and students willing to rent rather than buy
- As a nation we are getting married and having children later in life
Growing shortages in new property developments has transferred homeowner’s attention away from home ownership and to the buy to let market.
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