Arrears are down and profits are up - good news for London landlords
New research with nearly 800 London landlords shows lower rental arrears (down 11%) and lower void periods (down 7%) - and a greater number of landlords making a profitable full time living from their letting business. In fact landlords confidence in their own letting businesses rose 12%.
The research, from Foundation Home Loans, shows a lot of the positives in the current market, but also reflected ongoing uncertainty and change.
A quarter of London landlords surveyed had noticed increased competition in the buy-to-let market as a result of political uncertainty, and another quarter had upped rental prices as a result of the lingering political concerns over the past year.
Jeff Knight, director of marketing for Foundation Home Loans, said: "Central London’s busy hive of buy-to-let market activity demonstrates clear resilience during the uncertainties of the past year. The London market often faces its own particular challenges – not least the rate of stamp duty.”
Alex Huntley, Head of Operations at Simple Landlords Insurance, added: “It’s great to see more evidence of buoyancy in the market - especially in London. Often we see what happens in the capital repeated elsewhere in the UK. Let’s see if this cautious optimism continues to grow over the coming weeks and months.”