Small private landlords are now sharing the space within the housing rental market. An area which they once dominated is now catching the attention of big investors who are hoping to cash in on the idea of being a better landlord compared with smaller landlords. This could be true according to the latest data to surface. Those living in the private rented sector pay the highest housing costs, but endure the poorest level of housing in Britain.

Big name investing firms are now making a push forward to benefit from the rental housing market. L&G as well as Sigma Capital have plans currently to make a significant impact on the sector by purchasing and building homes for rent in the coming months and years.

The UK housing market is in the middle of transition to a new government and that leaves no shortage of decisions to make concerning the short term as well as the long term in regard to the future of the market. Rental property will continue to be in high demand as house prices are likely to keep rising for the next several years. An increase of approximately 3-5% is expected by the end of this year alone.

The manager of L&G Capital, Paul Stanworth, commented on the possibility of investing in rental homes, saying: “The long-term commitment to develop and hold this asset removes short- termism in approach to quality and service, whilst the scale of developments that our investment can facilitate allows us to maximise operational efficiencies, thereby passing on lower rents to our end users.”