The high demand for rental properties will remain, according to the lender, due to current issues with supply. This was illustrated by the record highs in the market during the last few months.
The blog also stated that once normal rates are back in place from this October, the 3% surcharge on additional property purchases will affect those who wish to become landlord or buy second homes. Research carried out by Landbay shows a move away from landlords who own just one or two BTL properties, towards those seen as professional or semi-professional who operate as a business.
“The shortage of property for rent is directly linked to growing demand, which in turn is powered by a trend away from home ownership,” Landbay said in a blog on its website.
“Reluctantly, many would be buyers have had to turn their backs on buying as property prices have increased, especially so over the period covered by the stamp duty land tax holiday.
“The future for buy-to-let, despite the moves to curtail tax benefits, remains strong. For landlords, funding is plentiful and interest rates and loan-to-value criteria are at their most attractive at the moment.
“The private rental sector is fundamental to the housing market and will continue to play a vital role in the UK’s housing market.”
Original article featured here…
Earlier this week, Landbay reduced rates on its green product range. Launched recently, these rates are exclusively for properties that have been registered for at least 24 months with an energy performance certificate (EPC) rating of C or above.