You are here: Home - News -

April sees sharp drop in landlords looking for new investment homes

by: Edward Murray
  • 15/05/2017
  • 0
April sees sharp drop in landlords looking for new investment homes
The number of new landlords entering the market has fallen, as has the number of buy-to-let transactions, according to estate agency Haart’s National Housing Market Monitor for April.

The figures revealed that the number of landlords registering to buy in England and Wales had fallen by 10.4% between March and April and by 39.4% annually.

When looking at the number of landlords registering to buy in London, the fall was 10% for the month and 55.7% annually.

Although the number of buy-to-let sales in England and Wales had nudged up by 0.1% in March, it was down by 57.3% on the previous year.

In London, buy-to-let sales dropped by 18.5% on a monthly basis and 71.4% on an annual basis.

Adele Turton, managing director at Plan A Mortgage Brokers, said: “There is too much uncertainty in the market. The Stamp Duty [levy] has knocked purchases on the head. Previously, when people had a nest egg they might have wanted to get into the buy-to-let market. They would get their deposit together and the Stamp Duty was not much of an issue.”

She added: “But now with the Stamp Duty they can get less for their money, and their returns are going to be lower. I think people are having to take it more seriously, which is a good thing, and they are having to put some proper business planning in place about what they are doing.”

Doug Hall, director at distributor 3mc, said the figures did not reflect his own experience and that the firm was 48% or 49% up on the number of buy-to-let applications through the door when compared to last year. He explained: “The growth we are seeing is in the limited company space as opposed to private individuals.”

There are 1 Comment(s)

You may also be interested in

Bridging

Keep up-to-date with all the breaking bridging and short-term lending news and analysis, from regulatory changes to product innovation and inside market knowledge. Take a look at our broker and lender case studies showing short-term finance in practice.

Commercial

Find all the news, opinion and analysis for property finance brokers specialising in commercial and semi-commercial mortgages, alternative and development finance for commercial investments in residential projects.

Second charge

Stay up-to-date with the latest news, analysis and opinion on the secured loan market as it evolves into a mainstream finance option following European regulation on 21 March 2016.

Complex buy-to-let

Whether it’s a complicated asset or a complex customer, you’ll find out all the breaking buy-to-let news in this section. From limited companies to portfolio landlords, student lets to a House in Multiple Occupation, we’ve got all bases covered with our up-to-the-minute news, analysis and opinion.

Mortgage Solutions

Find all the breaking news, analysis and industry comment on Specialist Lending Solutions' sister site, Mortgage Solutions
Read previous post:
Mark Lofthouse
Mortgage Brain integrates second charge mortgage sourcing with firsts

Mortgage Brain has launching a fully integrated second charge mortgage sourcing capability into its first charge sourcing systems.

Close