Buy-to-let landlords braced for future
Monday, 11 February 2008 12:00 AM
Buy-to-let landlords are set to remain in the market for the long-haul, despite recent turbulence and the potential for a correction in average house prices.
This is the view of the Money Centre, which finds over half of landlords expect to remain in the market for more than ten years.
While some 26 per cent of landlords state they will stay in the market indefinitely, five per cent claim they will be involved for a further 20 years and 22 per cent will stay for a further 11 to 20 years.
"There are many different reasons why people enter the buy-to-let market, but in order to get the most out of their investment we always recommend that landlords take a mid- to long-term approach," said Lynsey Sweales, marketing and PR director of the Money Centre.
"Meticulous research and planning, a solid strategy and clear end goal are key to making the most from property investments.
"There will be peaks and troughs in the property market but the right approach and sufficient cash reserves will see investors through bleaker spells."
Just 17 per cent of landlords said they planned to leave the market in the next five years, with a further 11 per cent saying they were unsure of their future plans.
"2008 is likely to offer opportunities for investors who can capitalise on the uncertainty in the market and continued rental demand.
"Buy-to-let has become more and more accessible over recent years and we expect to continue to see landlords build on their existing property portfolios as well as see people join the buy-to-let market for the first time, whether that be in order to get on the property ladder, to supplement their income or to secure their financial future," concluded Ms Sweales.
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