Landlords Sitting (Relatively) Pretty

Posted 2007-12-19

If you’re a landlord, you’re most likely quite content with the financial situation right now, at least in terms of renting out your property. A combination of factors, such as a slowing market and lack of incentives to buy, has led to an increase in the rental market and decrease in the buying market, announces Royal Institution of Chartered Surveyors (Rics).

However, a slight concern for landlords documented in Rics’ quarterly Lettings Study, is that an over-abundance of available flats is causing a greater demand for single family homes. Rics’ study found that 25.2% more chartered surveyors reported a rise in the demand for houses, while the number who reported a rise in the demand for flats decreased from 36.9% in the last quarter to 16.9%.

Jeremy Leaf, a spokesman for Rics explained that many who would like to buy are struggling to enter the housing market while rents are increasing. “However,” he says, “many landlords will still take solace from uncertainty in the economy and enjoy the gains from rising rents.”

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