Landlords confidence in BTL sector at a low.

February 4, 2016

Speaking at the Building Societies Association’s (BSA) annual meet-up for mortgage professionals on tuesday 2nd February, Richard Lambert, Chief Executive Officer of the National Landlords Association (NLA) reportedly told delegates that Landlords’ confidence in the buy to let (BTL) sector has collapsed to an all-time low and is now ‘worse than levels witnessed during the financial crash’.

In fact it was stated that the current level of confidence in the Buy-to-Let  (BTL) sector is now five per cent lower than levels witnessed after the financial crash in 2007,  the (NLA) has now reversed it’s previous  prediction of the continued growth of the private rented sector (PRS) by another million more households over the next five years.

Mr Lambert reportedly said: “Two speeches from the Chancellor in 2015 have led to a crisis in confidence greater than when all but a few BTL products were immediately withdrawn from the market following the 2007 financial crash.

“Up to half a million properties could come onto the market as a result of the Summer Budget and Autumn Statement, which the Chancellor will no doubt deem a success.

“But there is no guarantee that these will be the one or two-bedroom flats or small houses that will appeal to first time buyers, especially as landlords are more likely to offload less desirable stock in less desirable areas.

“We’ve always said that Mr Osborne is blinded to the impact of his decisions by his commitment to homeownership.  He may have intended to focus on the small-scale part-time investor, but it’s the larger and more professional landlords who will be hit worst by cuts to mortgage tax relief and increases to stamp duty, and who appear most likely to leave the sector.

“What happens to the people these landlords house if they still can’t buy and there are fewer and fewer properties available to rent?”

To see full details in the report and findings from the latest NLA  Quarterly Landlord Panel survey click here

 

Allen Walkey

Highly experienced businessman with a successful career in property sales and investment both in the UK and abroad. Now a freelance writer and blogger for the property and Investment Industry, keeping readers up-to-date with changes and events in a rapidly changing world.

You May Also Enjoy

Estate Agent Talk

Four to five houses is the sweet spot for first-time buyers

House hunting before the stress kicks in Just 20% of us feel excited on a first property viewing, rising to 47% by viewings 4 to 5 There’s a U shape trajectory of excitement when it comes to the viewing process However, there is a gradual rise in stress levels the more properties viewed Overall just…
Read More →
Estate Agents should not all look the same
Letting Agent Talk

Opinion: Why Letting Agents Are The Cape-Wearing Heroes Landlords Need 

By Sally Lawson | Agent Rainmaker Let’s be honest – no landlords signed up to become compliance officers, legal experts, or legislative gurus. They signed up to invest in property. And yet, the weight of the regulatory obligation that’s landed on their shoulders has never been heavier.  And that’s even before the Renters’ Rights Act…
Read More →
Letting Agent Talk

Void periods ease following RRA implementation, but remain higher than a year ago

The latest analysis by property management specialist, Rushbrook & Rathbone, has found that average rental void periods across England have eased since the implementation of the Renters’ Rights Act (RRA) in May, suggesting that landlords are beginning to adapt to the new legislative landscape. The firm believes many are using this period of change as…
Read More →
Estate Agent Talk

76% of Poor Conveyancing Experiences Feature Communication Issues

Konnect You analysis finds that communication issues feature in more than three in four poor conveyancing experiences, with missing updates, slow responses and repeated chasing emerging as common frustrations. Communication problems, including limited updates, delayed responses and repeated chasing, featured in 76% of poor home-mover conveyancing experiences analysed by Konnect You. The findings suggest communication is a major factor in how home movers experience delays.…
Read More →
Breaking News

1 in 8 new-build homes unsold after six months

Developers hold their nerve as one in eight new-build homes remain unsold after six months   Jonathan Samuels, CEO of specialist lender, Octane Capital, believes that developers are increasingly prioritising profitability over speed of sale, with new-build homes spending longer on the market as developers resist unnecessary price reductions and instead look to protect scheme…
Read More →
Breaking News

Rental price and average salary tracker – July 2026

Year-on-year Rental Price Growth Moderates, Yet High Demand and Limited Supply Continue to Push Rents Higher London recorded the strongest monthly rental growth, with average rents rising from £2,385 to £2,484 (+4.2% month-on-month). As a result, the representative annual salary needed to secure the average-priced rental home increased from £70,050 to £74,520 (+6.4% year-on-year). The…
Read More →