A recent survey by high street estate agents is showing a very high demand for good condition rental properties. One agency in the Midlands area reported a 17% increase since January of clients waiting for suitable properties to come onto the market. The demand is growing it would seem nationwide with London and the surrounding areas reporting severe shortages of suitable properties to rent. The shortage is due to young couples being unable to raise the deposits required to buy their own homes and consequently they go for renting. Mortgage companies are doing all they can to attract the first time buyer but the restrictions applying to applications is having a negative effect. Interest rates remain the lowest they have been for years but this still is not helping as the deposit required is hard to accumulate. This situation is only good news for the landlord as rents continue to increase year on year as demand for properties grow. One thing which is very clear in the survey is that rental properties have to be of a good standard to demand the high rents being charged. Buy-to-let mortgages It would seem the buy-to-let market is not subject to nerves and the jitters at present as new and existing investors continue to enter the market. Applications for April this year are up again on last year by 12% and show no sign of cooling. Even with an election looming which in the past has put buyers off doesn’t seem to have any bearing on the booming market. With a vast array of lenders offering a huge range of products most applicants can be catered for. One thing potential investors are becoming very aware of is the bigger the deposit the better the deal on offer. Can we help? If you would like assistance with your buy-to-let mortgage please do give one of our expert advisers a call. We have years of experience and look forward to being of help to you.
