Landlords plan to expand portfolios in 2015

More than 50% of UK landlords plan to purchase further properties in 2015 according to a recent poll. They feel that the conditions are perfect for expansion in the lettings market.

This is due to an increasing demand for good quality rental property, a reduction in the level of rent arrears, and increasing rent levels.

The same survey found that rental yields of 6% to 8% were achieved in most parts of the UK. When combined with rising property prices providing capital growth, it is easy to see why a Buy to Let portfolio can be an appealing investment. Overall 45% of landlords said tenant demand was growing and 55% said demand was stable.

The turbulent financial markets of the last few years has meant that home ownership in the UK has fallen to its lowest level for 25 years, this fact alone has led to a significant increase in the demand for rental properties.