{"id":6035263,"date":"2021-07-22T11:05:44","date_gmt":"2021-07-22T10:05:44","guid":{"rendered":"https:\/\/www.buyassociation.co.uk\/?p=6035263"},"modified":"2023-11-06T15:03:11","modified_gmt":"2023-11-06T14:03:11","slug":"confidence-in-buy-to-let-business-continues-to-grow-among-brokers","status":"publish","type":"post","link":"https:\/\/www.buyassociationgroup.com\/en-gb\/news\/confidence-in-buy-to-let-business-continues-to-grow-among-brokers\/","title":{"rendered":"Confidence in buy-to-let business continues to grow among brokers"},"content":{"rendered":"

In Q2 2021, the proportion of brokers forecasting a rise in buy-to-let mortgage business over the next 12 months has increased.<\/strong><\/p>\n

Despite the tapering of the stamp duty holiday, a survey by Paragon<\/a> reveals 53% of mortgage brokers expect buy-to-let business to increase over the next year. This is compared to 50% in the first quarter of 2021. At the same time, the proportion of brokers forecasting declining levels of business stayed consistent at 10%.<\/p>\n

Moray Hulme, director of sales at Paragon Mortgages, says:\u00a0\u201cThese figures suggest that the strong levels of buy-to-let business witnessed over the last six to nine months wasn\u2019t just as a result of the Stamp Duty stimulus<\/a>, but down to more fundamental shifts in where and how people want to live.\u201d<\/p>\n

Buy-to-let demand is high<\/h4>\n

During the second quarter of 2021, brokers reported that demand for buy-to-let was high. Specifically, 42% of intermediaries said demand was \u201cstrong\u201d. And 8% stated demand was \u201cvery strong\u201d. In the second quarter of 2020, which was at the height of the pandemic, there were only 26% who felt this way.<\/p>\n

Additionally, only 10% of those surveyed reported buy-to-let demand<\/a> to be weak. That is compared to 30% during the corresponding quarter last year.<\/p>\n

Overall, the confidence among brokers is generally high. In the survey, 91% said they were confident about the outlook for their business over the next year. This was especially prevalent for those seeing high levels of buy-to-let business with 97% among that cohort.<\/p>\n

\u00a0\u201cWe still expect to see business levels moderate as the Stamp Duty holiday ends but landlords are seeing plenty of opportunities to expand their portfolios to meet excellent levels of tenant demand<\/a> and changes in the type of property people now want to rent,\u201d Moray Hulme comments.<\/p><\/blockquote>\n

\u201cThere has certainly been a growth in tenant demand for family homes, for example, and landlords are reacting accordingly.\u201d<\/p>\n

Investing in buy-to-let<\/h4>\n

With demand in the private rented sector<\/a> at high levels across the UK, this is providing a boost to the buy-to-let sector. Recently, many landlords have seen a drop in\u00a0void periods<\/a> and higher yields<\/a>.<\/p>\n

Additionally, the number of buy-to-let mortgages<\/a> reached the highest level since March 2020. Investors and landlords have been welcoming the additional choice. With the increased competition, interest rates are still historically low.<\/p>\n

Many landlords are locking in competitive mortgage deals<\/a>. This is leading more buy-to-let investors to expand their property portfolio<\/a>. Additionally, this year, more first-time landlords<\/a> have even entered the buy-to-let sector due to the enticing market conditions.<\/p>\n

Moray Hulme concludes:\u00a0\u201cMortgage brokers have experienced a busy 12 months after the initial panic of the coronavirus pandemic. They enter the second half of 2021 in a confident, robust mood, which is indicative of the underlying demand for mortgage products.\u201d<\/p><\/blockquote>\n

At BuyAssociation, we have a number of property <\/strong>investment opportunities<\/strong><\/a> across the UK. <\/strong>Sign up for free<\/strong><\/a> to gain first access to our best deals.<\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"

In Q2 2021, the proportion of brokers forecasting a rise in buy-to-let mortgage business over the next 12 months has increased. Despite the tapering of the stamp duty holiday, a survey by Paragon reveals 53% of mortgage brokers expect buy-to-let business to increase over the next year. This is compared to 50% in the first… Read more »<\/a><\/p>\n","protected":false},"author":1982,"featured_media":6031607,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"inline_featured_image":false,"footnotes":""},"categories":[2,26],"tags":[22,412,15],"class_list":["post-6035263","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-buy-to-let-landlords","category-tax-mortgages-money","tag-buy-to-let","tag-buy-to-let-mortgages","tag-landlords"],"acf":[],"_links":{"self":[{"href":"https:\/\/www.buyassociationgroup.com\/en-gb\/wp-json\/wp\/v2\/posts\/6035263","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.buyassociationgroup.com\/en-gb\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.buyassociationgroup.com\/en-gb\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.buyassociationgroup.com\/en-gb\/wp-json\/wp\/v2\/users\/1982"}],"replies":[{"embeddable":true,"href":"https:\/\/www.buyassociationgroup.com\/en-gb\/wp-json\/wp\/v2\/comments?post=6035263"}],"version-history":[{"count":1,"href":"https:\/\/www.buyassociationgroup.com\/en-gb\/wp-json\/wp\/v2\/posts\/6035263\/revisions"}],"predecessor-version":[{"id":6095842,"href":"https:\/\/www.buyassociationgroup.com\/en-gb\/wp-json\/wp\/v2\/posts\/6035263\/revisions\/6095842"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.buyassociationgroup.com\/en-gb\/wp-json\/wp\/v2\/media\/6031607"}],"wp:attachment":[{"href":"https:\/\/www.buyassociationgroup.com\/en-gb\/wp-json\/wp\/v2\/media?parent=6035263"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.buyassociationgroup.com\/en-gb\/wp-json\/wp\/v2\/categories?post=6035263"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.buyassociationgroup.com\/en-gb\/wp-json\/wp\/v2\/tags?post=6035263"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}