Landlord
Mortgages, regarded by many as the largest specialist
buy-to-let broker in the UK, have revealed figures that show a rising
rental yields picture for
England at the end of last year. This buoyant market puts an end to declining yields over the six months previous, and the
buy-to-let mortgage market is looking healthy.
Yields were shown to have risen from 5.87% in mid-late 2005, to 6.03% by the year’s end. The surge in rental yields came at the end of a period that saw dismal forecasts for the buy-to-let industry. The MD of
Landlord Mortgages, Lee Grandin, said that the market was now both healthy and stable.
Furthermore, he highlighted the strong
rental market in
London itself, as more people are prevented from getting onto the
property ladder. London-based
landlords were reaping considerable profit, as yields hit a high of 6.27%.
Scotland unfortunately continued to show a decrease in rental yield, as house prices in the region continued to grow.
Landlord Mortgages forecast that, short of a
Bank of England base rate hike, 2006 will continue to be ‘vibrant’ for the
buy-to-let mortgage market, right across the UK.
Buy-to-let landlords on average look to hold their properties for fifteen years.
