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Landlord confidence on a high

by: Mortgage Solutions
  • 13/12/2010
  • 0
Landlord confidence on a high
Landlords’ confidence has jumped in December on the back of rising tenant demand, with 60% of landlords more confident in the buy-to-let market than last month, according to Upad.

Figures showed this was up from 54% of landlords in November who were more confident than the previous month.

However, the research also found increasing concern among landlords about rent arrears and the lack of finance for property investors.

James Davis, chief executive of Upad, said: “Upad has seen tenant enquiries close to double in the second half of the year to what they were six months ago and the unprecedented growth in tenant demand should be good news for landlords.

“However, landlords don’t exist in a bubble: they’re held back by banks who just don’t want to lend money and, more than ever, are at the mercy of tenants who either can’t or won’t pay their rent.”

He added: “We can expect this situation to get worse as government cuts bite deeper. Landlords more than ever need to be vigilant about their cash flow and ensure that, if the worst happens and their tenant does stop paying, they have enough available cash to service a mortgage without their rental income.”

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