This compares to 40 per cent last year. Established landlords have not been put off by Interest rate rises and rental yields lessening, as they remain committed to buy-to-let as a long term investment.
Many novice investors are also still committed to the UK buy-to-let market. The survey revealed the level of interest has remained strong with 17 per cent looking to enter the market.
Experts at the Homebuyer Show stress that with property prices at record levels, interest rates rising and rental yields falling back, buy-to-let is not an investment option for making a ‘quick buck’. However, for investors looking to the long term, both the capital value of the property and the rental income are likely to go up, making buy-to-let a balanced investment.
Simon Zutshi, founder of Property Investors Network, who will be exhibiting and speaking at the Homebuyer Show commented: “The key thing to remember is that buy-to-let is a long term investment. You should not get into property investment looking for a short-term gain. With the market tightening, it is vital that investors exercise caution and do their research. Investors should ensure that the cost of borrowing is met by rental income. However, buy-to-let still offers excellent returns. There will always remain a high demand for rental accommodation with increased immigration, a growing population and renting remaining a popular lifestyle option. And, although property prices are stabilising now, the average value will definitely continue to rise in the long term.”
