11th May 2015
There are been a marked uptick in the number of landlords on the look-out for semi-detached properties according to research from Paragon Mortgages.
The specialist lender’s analysis found that the number looking to purchase such a buy-to-let had jumped from 23% in the final three months of last year to 35% in the first quarter of 2015.
The specialist lender’s Private Rented Sector Trends survey, which has been tracking landlord confidence and views on the buy-to-let market for 13 years, also reported that the proportion of landlords looking to buy terraced property had fallen steeply, from 67% to 35%, over the same period.
This sharp turnaround in demand for these two different property types resulted in a more even distribution of interest across the broad spectrum of property types from landlords than previously. Overall, among those looking to buy, 30% of landlords expressed interest in adding a flat to their portfolio, while 35% were on the look-out for a semi-detached house, 35% for a terraced house and 22% said they were considering more specialist units such as multi-unit blocks and HMOs.
The latest report also found a higher proportion of landlords are optimistic about the prospects for their property portfolios, with over a quarter, at 27%, feeling positive about the future and an increase in those expecting to buy sometime soon, up from 15% to 18%.
John Heron, director of mortgages at Paragon said: “The growing proportion of landlords looking to purchase buy-to-let property sometime soon points to continued, steady growth in the Private Rented Sector.
“Meanwhile, a closer look at interest levels for different property types suggests landlords are taking a broader perspective in order to cater for the wider range of households looking for a suitable home in the rental sector.”