One in five landlords 'added to property portfolio' in 2011

A new report concerning the private rented sector (PRS) has discovered that around one in five (19.1 per cent) of landlords in the UK had added additional residential property assets to portfolios during 2011. The Young Index found that strong expectations for growth and income were key drivers in this trend.

London led the way, after 85.1 per cent of respondents said they believed that rents in the capital would continue their somewhat astronomical rise throughout 2012. Unsurprisingly, every single landlord insurance customer interviewed predicted that property values in the capital would remain at the same levels or higher in 12 months' time.

Data presented by the report carried out during Q4 of 2011 also showed that 36.9 per cent of landlords would hold onto their property until the year 2031, as the average future hold period came in at 15.4 years.

Neil Young, CEO of Young Group, said of the research: "Without a doubt, the appetite from private investors in the PRS for additional investments is extremely strong.  The London rental market is particularly strong and demand from tenants seeking quality PRS accommodation shows no sign of abating, buoyed by a population that is spending longer than ever living in rented homes and increasingly living in solo households."