Landlords are optimistic in their current buy to let market.  According to research recently conducted by Mortgages for Business of those polled 60 per cent of landlords are planning to add more properties to their portfolios over the next six months.  Of those that are planning to add to their portfolios 63 per cent will need to remortgage to fund their new purchases.

Despite there being more buy to let remortgage and purchase products on the market from lenders than in years past the survey showed that 62 per cent of those polled believe lenders could do more to assist landlords.  The suggestions to landlords were to reduce product fees, increase LTV’s and to review applications on a case by case basis rather than relying on credit scoring.

David Whittaker, managing director at Mortgages for Business, remarked “Although overall mortgage and lending to first-time buyers is finally starting to increase, landlords remain confident about the future of the private rental market and plan to expand their portfolios over the coming months.

“However, more and more investors are exploring which options will give them the best returns on their investment. While vanilla buy-to-let properties remain popular, more complex deals are offering higher yields on average and are growing in popularity, particularly because of the shortage of housing stock currently on the market.”

The demand for rental properties has increased dramatically as hopeful homebuyers are kept off of the property ladder.  Without the option to buy due to the inability to come up with high level deposits households must rent.  This increase in demand has not only pushed up demand but rental fees as well.  This trend in high demand for rental property is due to stay steady for landlords and new property investors for many years to come.