Enable’s mortgage brokers in Bishop’s Stortford note with interest that according to Paragon “the number of landlords looking to expand their portfolios is higher than the percentage who are looking to scale back for the first time in four years.”
They recently surveyed 900 landlords and found that 19% of landlords are looking to add to their portfolio in the next year, while 17% are planning to sell at least one property. This makes the percentage of landlords planning to sell down on the percentages from the previous two quarters and back to the same level seen in Q2 2020.
Needless to say, it tends to be the larger portfolio landlords with between 11 and 19 properties that have the most flexibility and are therefore more able to be the most acquisitive. This group of landlords say that 31% of them are planning to buy new properties.
Richard Rowntree Paragon managing director for mortgages says: “News that for the first time in over four years more landlords are intending on buying than selling is fantastic.
“This is because not only is it good for the industry but, more importantly, it’s good for tenants. “More investment in the private rented sector contributes to higher standards, a moderation of rents and more choice for the millions who rely on the private rented sector for flexible, affordable housing. “During the uncertainty of the past year or so, the role of the private rented sector has become increasingly important, evidenced by the extremely high levels of demand we have seen for some time now, it’s great to see landlords are responding to this.”
You may not have a huge property portfolio but if you are looking to grow your rental property collection or want to look at entering the property letting sector Enable’s mortgage brokers in Bishop’s Stortford can help you look at your options.
Think carefully before securing other debts against your home. Your home may be repossessed if you do not keep up repayments on your mortgage