An increase in the number of Landlords buying in cash according to Countrywide.
The latest Countrywide Lettings Index report – October 2017 released yesterday headlines ‘Cash landlords spend a record £21 billion’
The report reveals that: The rising number of landlords buying in cash means that over the last year they spent more than at any time in the last decade, a record 65% of landlord purchases over the last 12 months were made by cash buyers.
In October rents grew by 0.5% year-on-year, driven by rises in the Midlands and Wales.
Commenting Johnny Morris, Research Director at Countrywide, said:
“Landlords have increased their housing wealth considerably over the last 10 years. This means cash purchases are steadily becoming a bigger part of the market. But a landlord buying with cash will often have a mortgage either on their personal home or other properties in their portfolio. Rising prices have allowed landlords to take equity out of both their personal or other rental homes to expand their portfolios.
“Rental growth across Northern England has slowed under pressure from record numbers of new landlords. But it’s a different story across the Midlands and parts of the South where rents are once again nudging upwards. It looks like the last effects of the investor stamp duty surcharge have finally worked their way through the system.”
Read the Countrywide Lettings Index report – October 2017 in full click here.
You May Also Enjoy
What to know when buying land
Tenant demand strong, landlord supply shrinking
Why Join a Letting Agents Association?
House price growth remained subdued in July
Rent hikes and tighter tenant checks as landlord costs climb
