Landlord would be vulnerable to interest rate rise

53% saying that the effect would be considerable and very significant in a recent survey carried out by the NLA.

8% of those surveyed would have to reconsider their future as a Landlord, 6% would have to reduce their holdings and maybe even leave the PRS totally.

The survey was conducted with 662 landlords. Nearly 75% of those landlords have one mortgage and more.

47% have at least five Buy to Let mortgages having used their existing portfolio as collateral.

Just under 49% robustly agreed that the Buy to Let market place would further benefit from greater competition.

David Salusbury, chairman at the NLA, said: “These statistics show how important it is for a landlord expanding their portfolio to construct a sound long-term business plan when considering buy-to-let properties. “The NLA believes that such properties can be a worthwhile investment and can help ease the current housing crisis by providing a source of much needed housing, but landlords should ensure that they plan for the future and are mindful of any potential increases in BTL interest rates.”