Landlords seeing boom in tenant demands

Posted under General by Jermaine

There is boom in the tenants demand, reported buy-to-let lender Paragon in its recently conducted Mortgage Trends survey.

AS per the survey, 51% of respondent landlords acknowledged that tenant demands were either growing or booming during July to September period.

The survey indicated 33.9% increase in the second quarter and revealed that optimism on growth was highest since Paragon started questioning respondents on this subject in 2004.

41.7 of landlords reported demand as ‘stable’ while just 3.6% informed that there was fall in demand in third quarter.

The survey also revealed 57.8% respondents were expecting continuation of growth up from second quarter figure of 53.9%. 32.3% of landlords felt that tenant demands would stabilise in next 12 months while 5.2% were expecting fall from existing levels.

The void period improvement is noteworthy, as the survey data revealed that it is down to 2.6 weeks per year from 2.7 weeks compared with April to June period.

Paragon’s managing director; John Heron observed that reluctant buyers were causing increase in demand for rented accommodation. He wanted government to recognise the role of fast growing private rented sector and to ensure that over regulation did not deter landlords from investing in their portfolios.

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