Over 75% of Landlord investors will buy more properties in next 12 months

The upbeat investment firm Assetz new survey of investors shows confidence, the survey shows that increased rental demand is the prime motivator for portfolio expansion.

Many investors feeling that property prices are at near or bottom of prices.

A mere 10% of those surveyed cite worries over the economy as the main deterrent for further investment. Many investors taking the longer term view, with 50% saying that longer term capital gain as their top priority. 44% citing rental income.

Just over 45% of those surveyed said that they are achieving gross rental yields of more than 5.5%, with over 19% saying they are obtaining yields of over 9%

Stuart Law, chief executive of Assetz, said: “Risk-averse lenders are making no secret of the fact that they would rather allocate the limited funds they do have to the lower-risk option of buy-to-let loans with deposits of typically 25–40%. “The sector has not been as hard hit by the recession as originally feared, due to the fact that interest rates have remained extremely low.This has protected landlords by giving them cash flow, and future rate rises, which are likely to be small and gradual, will be covered largely by rental increases.”

Bristol letting agents, Kevin Cox founder of Igloolets.com said “Now is a good time to invest in property, for those with a longer term view. Even for those who have purchased properties within the last 18 months and may have seen a slight down turn in prices, Bristol has faired well overall in the 18 months with prices not crashing as in other areas. However, there are now some real good deals out there, if investors can assess the necessary funds.