2014 is expected to be a good year for landlords in
the UK. Over 50% of landlords expect tenant demand to increase and 40%
have reported growth in the last 6 months.
Currently, landlords are in a good position to benefit from the
strong yields on property. Anyone who is aspiring to be a buy to let investor
can be encouraged by the climbing demand in tenants, which will not only
signify long term investment opportunity but will also demonstrate a growing
demand for rental homes.
Because it has been so difficult for home buyers to obtain a mortgage
and afford a home in the last few years, many people who would have bought a
home were forced to rent instead.
The number of lettings, new viewing and applicants
are all rising, which means that there is a very strong possibility for
prosperity in the rental sector. This is great news for Buy to Let investors
and it will open up many profitable opportunities.
Invest for the Long Term
So what does 2014 have in store for the buy to let investment market?
Although there has been an increase in demand for rental housing recently, the
advice is for investors not to see Buy to Let as a “Get Rich Quickly” scheme.
Instead, it is important to think about the long term and make smart investment
choices, rather than simply trying to make quick money. For example, the focus
should be on looking after tenants and making sure that they are happy, rather
than increasing rental rates.
Property Prices on the Rise in 2014
If you are looking to buy a new Buy to Let property and expand your
portfolio, this might not be the best opportunity to get a bargain – because
property prices will be rising this year. However, there are still
possibilities out there to get a property that the average buyer might
overlook, in an area where the property values have only just started to
recover.
Also, when securing a mortgage is difficult for home buyers, it is also
difficult for landlords – so this is another important factor that you will
need to consider. This can be a serious financial challenge that you will need
to keep in mind if you are purchasing a buy to let property this year.
No comments:
Post a Comment