We have seen conditions remain largely positive and our latest data shows that the buy to let sector is already generating momentum after the initial brief pause experienced throughout the economy.
Confidence steadily grew alongside this momentum over the course of 2020 and in 2021 this has risen to new heights. The recent Landlord Panel BVA BDRC research, which took place between March and April this year, shows that landlord confidence has grown across all five key business indicators measured – prospects for capital gains (up 26% points year-on-year) and confidence in their own lettings business (up 25% points year-on-year) being the two highlights.
Overall, that means landlord confidence has been consistently rising since the lows we saw in Q1 last year. This represents great news. Understandably, rising landlord confidence – especially when it comes to their own lettings business – means that opportunities to add to portfolios are being looked at with renewed vigour.
We are also seeing a real demand for limited company products – which obviously benefit from mortgage interest tax relief – over a longer five-year term, which can be utilised in order to secure a slightly larger loan. For example, our recently launched limited edition five-year limited company fixed-rate product has been much in demand, as have the two-year options for both standard and HMO properties.
Confidence breeds opportunity and opportunities will continue to emerge for landlords and intermediaries across the BTL sector. If you would like to know more about how we can help you and your landlord clients make the most of these opportunities then contact us today.
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