Landlords predict that it will be a good year for property investing, despite changes that have adversely affected them.
In a survey quoted on the PropertyInvestorToday.co.uk in April 2017, property professionals were asked about their views on their investments. The majority of landlords (81%) felt confident that their business will perform well in 2017.
Landlords are facing cuts to income tax relief on commercial mortgage payments, and other policy changes by the government have had a negative effect on buy-to-let investments, but this has not decreased landlords’ confidence. Landlords have actually been helped by fierce competition amongst lenders, which has resulted in low rates available for commercial mortgages.
Demand for rented accommodation remains strong, with 30% of the landlords surveyed saying that they have had an increase in renters when compared to the first six months of 2016. Around half of buy-to-let landlords have received an increase in rental income from their tenants over the last 12 months.
The confidence that landlords have in the property market has resulted in 66% of the survey’s respondents saying that they plan to purchase more buy-to-let properties to add to their property portfolios. This is despite increases in their costs and financial uncertainty in the British economy during the Brexit procedure.
The survey also found that 19% of landlords did not have a clear understanding of how these changes affect their business. Landlords can join the National Landlords Association, which provides advice on all matters that affect landlords.