High returns on buy to let
NAEA, National Association of Estate
agents have stated that there is a high rental demand in the buy-to-let
market, this an advantage for new potential investors.
However to the NAEA tough inward migration
and harder employment is offering to continuous demand for rental
offers in the United Kingdom, in calculation to demand from would-be
homebuyers who cannot maintain homes in expensive regions.
Due to these high advantages, most
landlords have been receiving good returns and comfortable yields,
even though there have been more new investors joining the buy-to-let
sector and more houses getting built. At NAEA Jan Bartlett spoke
further about the appeal of new builds to current tenants.
"A high percentage of buy-to-let
investors purchase new-build properties, which attract higher
than average rental yields due to their quality and desirability,"
it was claimed.
"Young professionals are prepared
to pay a premium to rent new build property which they otherwise
might not be able to afford."
However, the National Institute
of Economic and Social Research feel that Buy
to Let Mortgages could turn out to be insecure in
the coming years.
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