New surge of confidence in long-term rental market

A new report from Kensington Mortgages, part of Barclays, has unveiled that 89% of landlords are now confident in the long-term outlook for the UK rental market, with 84% of those expecting an increase in rental yields over the next 12 months. 

With the market outlook more optimistic and demand on the rise, investors keen to reap the rewards of this shift are looking to act now to get the best opportunities on the market.

89% of residential, limited company landlords are now confident in the long-term outlook of the UK rental market, with 84% expecting rental yields to rise, 80% expecting rental demand to rise, and 77% expecting property value to increase, all in the next 12 months. 

Market expansion as demand rises

With this shift, landlords looking to expand their portfolios, or for those looking to engage within the investment market for the first time, the opportunity has presented itself now to make the move. Buying ahead of property value increases will mean buyers can benefit further from capital appreciation, and secure a better deal while the market is less competitive. 

Diversification deemed the key to success

According to Kensington Mortgages BTL Barometer, only half of landlords are intending to maintain their current portfolio size, with an impressive 38% focusing on expanding their property portfolio this year. There is also a huge shift into diversifying, with 95% of landlords considering introducing a new type of rental property to their books, with corporate lets on the radar for 37% of landlords, and HMO's at 18%. 

New opportunities to explore

If you have been considering expanding your portfolio and reaping the successes of the improved market, we're here to help. With a range of opportunities available, our teams are on-hand to provide real-time support and unbiased advice on your next venture. If you'd like to speak to us, reach out today.