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Time to take property investment advice from landlords in ‘the know’?
Time to take property investment advice from landlords in ‘the know’?
LSL Property Services recently conducted research revealing that 48% of landlords believe that now is a good time to invest in property due to the recent fall in property prices
Dartford,
Kent,
United Kingdom
(prbd.net)
24/09/2012
LSL Property Services recently conducted research revealing that 48% of landlords believe that now is a good time to invest in property due to the recent fall in property prices and strong tenant demand, whilst only 1% of those surveyed believes that now is the time to minimize their property portfolio.
Many landlords have realised that house prices are still low in many areas, with high rental demand providing landlords with the opportunity to secure strong rental yields and make a profit on buy-to-let property.
The latest buy-to-let index showed that rents have risen in recent months and are now at an all time high, combined with a rise in rental demand this has resulted in 64% of landlords perceiving that this demand will continue to increase.
Many landlords also believe that rents are set to rise over the next year by over 4%, with only 1% believing that their rental income will fall.
The only problem foreseen by landlords is the difficulty in securing lending, with 50% believing that it is more difficult to secure the finance required compared to this time last year, and repayments are seen as being more expensive than a year ago, although the rise in rents is perceived to soften this blow.
Paul Ribbons, author of Hustle Your Way to Property Success and the new Property Investment Manifesto, is a property trader and runs the Paul Ribbons Partnership. He says:
"It's interesting; the reason for this confidence is that interest rates are low at present.The lack of mortgage funding is helping the demand for rental properties.When lending returns to some sort of reasonable level this will change and all landlords need to be aware of this.
"It is a great time to be a landlord so as long as a contingency plan is put into place. But BEWARE this is the most artificial market there has been in my lifetime.
"Interest rates will rise. So your mortgage payments will rise.Tenants will become buyers again. So rents will fall.Build this into the equations and pay down the debt ASAP."
Notes to Editors
Paul Ribbons runs the Paul Ribbons Partnership and has a unique and very lucrative strategy that has helped him, and his delegates, in making money from property. To find out how click here. Paul has been involved in over 500 below market value (BMV) deals and offers property investment advice. He has a simple and effective strategy of buying property from the open market, distressing them and reselling them at auction for profit. Everyone can do it, and in his book and via his courses, he tells the story of how he came across his simple formula of making money. To find out how to profit from property click here.
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About
Paul Ribbons runs the Ribbons Partnership and has a unique and very lucrative strategy that has helped him, and his delegates, in making money from property. He has been involved in over 500 below market value (BMV) deals.
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