Investec Private Bank business development manager Peter Izard said he believed if people were committed to moving to the UK they would want to settle down before investing.
This was echoed by broker firm Anderson Harris which said it had seen clients taking this view.
Speaking on Mortgage Solutions Television in association with Investec Private Bank, Izard said: “The demand for property to rent in the high-end market is there.
“The long-term prognosis is that values will continue to rise over the longer term and for the right high net worth client in the right structure for their personal requirements the demand is there.”
He noted that this was particularly important for buyers potentially facing a top rate of stamp duty of up to 16% who would have even more reason to rent.
“That gives more credence to the fact that actually, if I’m committed to buying long term, I definitely want to try before I buy, because I want to make sure that the family is settled in a specific area,” Izard said.
He continued that the lender felt positive that “the long-term prognosis for high net worth buy to let is still strong, albeit there are some short-term headwinds”.
Anderson Harris director Adrian Anderson added that he had seen clients who had chosen to rent because it would be cheaper than their potential stamp duty bills.
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