Numbers of rented homes owned by companies continues to rise according to Hamptons International
The latest Hamptons International Monthly Lettings Index – June 2018 published July 2018 headlines ‘Proportion of rental homes let by company landlords reaches new high’.
The report reveals that the proportion of homes let by a company landlord rather than an individual rose to 18% in H1 2018, the highest proportion since our records began in 2010.
The average cost of a new let in Great Britain rose to £956 pcm in June 2018, but rental growth slowed to 0.7% down from 1.3% in May according to Hamptons International Monthly lettings Index report for June 2018.
Commenting Aneisha Beveridge, Analyst at Hamptons International, said:
“The number of rented homes owned by company landlords continues to rise. Nearly one in five homes let so far this year were owned by a company landlord, almost double the proportion in 2015, before the tapering of mortgage interest tax relief changes were announced. Companies are generally taxed more favourably, so in many cases landlords can make cash savings by operating through a company rather than as an individual.
“Rental growth slowed in June, falling below 1% for the first time in seven months as the shortage in stock begins to level out. The lull in landlord purchasing activity following the stamp duty surcharge for second homes appears to have bottomed out as investors find new ways to make their returns.”
Read the Hamptons International Monthly Lettings Index report – June 2018 in full click here.