Buy-to-let confidence soars

Confidence in the UK buy-to-let sector remains high, according to a new study.

A survey by the Association of Residential Lettings Agents (Arla) shows that many of those with buy to let mortgages intend to increase their portfolios.

According to the study, 54 per cent of all landlords intend to buy another investment property in the next year.

In addition, 90 per cent said that they would not sell any of their investments if house prices began to fall.

However, if mortgage interest ceased to be an allowable business expense, as proposed in some quarters, then many would reconsider their position.

A total of 28 per cent said that they would definitely sell some of their investments, while 42 per cent said that they were unsure what they do.

"With the institutions less interested in the private rented sector and private equity companies not filling the gap, the loss of any private individual investors would seriously affect the rental market and severely curtail choice in housing," said Ian Potter, operations manager at Arla.

"Private buy-to-let investors have refinanced the private rented sector and restored social acceptability to renting," he continued

Arla recently revealed that rents charged by landlords are at an all-time high due to strong demand for rental properties.

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