Despite recent upheaval in the private rented sector, interest in the property industry appears to remaining strong. There has been talk of landlords coming and going from the sector, with news of a mass exodus following an increase in problem tenants, and changes to law and regulations. An increase in Stamp Duty charges and the phasing out of mortgage interest tax relief have taken its toll, but the overall positive outlook for property investment continues.
Opinium Research, the market researcher based in London, has undertaken research on behalf of Sainsbury’s Bank Mortgages, revealing that 9% of UK adults surveyed enquired about buy-to-let mortgages in 2018. 2,004 UK adults have been included in the survey.
The results of this research show that 35% of those taking out or considering to take out a buy-to-let mortgage have taken interest in the industry due to a change in income. 29% have stated their interest has been increased by the opportunities to enter the buy-to-let market that are currently available.
25% of those surveyed responded that the decision to enquire about buy-to-let mortgages was made after receiving an inheritance. Sainsbury’s believes that this could even be the reason why many have found themselves to be “accidental landlords”.
It is vital that all landlords are aware, especially those who have ended up in the profession unintentionally, of the importance of taking out Landlord Insurance that fits their needs and those of their property. Just Landlords offer the widest Landlord Insurance on the market as standard, including 40 essential covers.
The survey looked at particular interest in purchasing a property, with 51% of the potential landlords claiming that they have considered buying a house. 46% specifically considered the option of investing in a new build prior to this year. Another 46% agreed that the purchase of a flat was a viable option, with 44% stating that they had considered a new build flat.
David Buxton, head of banking at Sainsbury’s Bank, said: “With demand for rental properties showing no signs of slowing down, we’re delighted to be able to help landlords by offering competitive mortgages and advice to help them best manage their investments.”