You would forgive some landlords for not feeling optimistic about the condition of the rental and lettings market. In recent times, the Government has imposed many new regulations and challenges on landlords, and there has been anecdotal evidence of many lettings professionals deciding it is time to leave the market. Thankfully, a recent study suggests otherwise, and it looks as though there are many landlords feeling optimistic for 2019.
A lot can change quickly in the property market but there is no denying that mortgage lenders are looking to assist current landlords with appealing re-mortgage offers.
It may be that these lenders are cautious about the number of new entrants to the landlord market but if this is the case, it will create the opportunity for existing landlords to improve their portfolio and enhance their position in a local market.
Many landlords want to buy more property and feeling optimistic for 2019
The pertinent survey was carried out by The Property Hub and they found that 77% of landlords stated they are looking to buy more property in the next 12 months. Only 2.9% of landlords said that they are actively looking to sell property in this time-frame, so this should be viewed as a positive aspect for landlords and the letting market in general. It is a clear indicator that many feel optimistic for 2019.
Looking further ahead, the study found that 84% of landlords stated that they don’t intend to sell off any of their property in the next three years. This will help to create stability in the market, which would be positive news for tenants as well as landlords. The study also found that 70% of landlords said that even a no deal Brexit wouldn’t impact on their plans.
One of the co-founders of the Property Hub, Rob Dix, released a statement, saying; “There’s been so much talk of a mass exodus of landlords and the death of buy-to-let, it’s easy for some would-be landlords to believe the rental market is on its knees. However, it’s clear from our survey that landlords are far from retreating from the market.”
Landlords still face many challenges in the rental market
While it is great news to hear such positivity and optimism surrounding the rental market, people shouldn’t get too carried away. Many landlords are still struggling with the recent regulatory changes and there is an acceptance that many tenants cannot afford to pay much more than they are paying right now. This may cause problems if landlords see costs rise in the consistent manner that they have done in recent times.
However, it is likely that there will always be a demand for rental property, and this is a factor that means many landlords are keen to stay involved with the market. It may also be the case that many landlords have doubts about the property market and making a return when selling a property, so for now, letting may be the best solution.
If you are a Petersfield landlord looking for assistance and support, be sure to get in touch with Williams of Petersfield. We are local lettings specialists and we are keen to support you as best we can and yes, we are feeling optimistic for 2019.