UK Buy to Let Properties Highly Demanded in Q3

According to a comparison portal Which4U, Paragon Group has published a new Private Rented Sector Trends report for the 3rd quarter of 2010.

The figures revealed in the report suggest that the number of available buy to let mortgages has increased and will further grow in the country.

It also showed that demand from tenants continued to increase in the 3rd quarter of this year, which might cause landlords raise rent rates and/or apply for more buy to let mortgages.

As such, 36% of buy to let property owners experienced a rise in tenant demand in the past 3 months. Only 6% claimed that demand actually fell. These figures might well be explained by the fact that the disparity between asking prices and real market prices that buyers are willing to pay is great. The situation gets even worse because of poor availability of credit financing.

As much as 42% of all British landlords believe that the demand for residential rental property will rise in the coming months and plan to rent out their assets.