The Future of the Buy-to-let Market – Better than you think
The current situation caused by the Coronavirus has created uncertainty in the rental market. Many tenants have been unable to pay their rent and the market saw a 55% plunge in demand in late March.
Although this might sound worrying, there is also some good news. Since bouncing back in late April and May, demand for rental properties is now 30% higher than it was in early March. Not only has the market returned to what it was before Coronavirus, but it has actually jumped up even more. This is partially due to the closure of the sales market and the fact that many people are now looking for short-term flexibility.
Many would-be first-time buyers are now having to rethink their plans due to financial uncertainty and restrictions put in place by mortgage lenders on loans sought by those with smaller deposits.
The positive bounce-back in the rental market is a good sign of short-term safety for landlords as demand is high and new supply of rental properties is falling.
Anglo American are also here for you, to help with any issues that may arise due to the current situation, such as unpaid rent.
Although there is a lot of uncertainty surrounding the buy-to-let market at the moment, there are positive signs for current landlords. We will continue to update you with any trends in the market and ensure you that everyone gets through these tricky times.