Buy-to-let still kicking, argues Landlord Mortgages

The current slowdown in the housing market is not detracting investor confidence in property investment, research suggests.

Specialist buy-to-let broker Landlord Mortgages says landlords still expect to purchase an average of three properties during 2005, the same number as last year.

Landlord Mortgages adds, however, investors only intend to remortgage two properties in their portfolio, a drop from the average of four during 2004, which Landlord says is because fixed-rate mortgages were purchased last year, generally tying investors in for at least two year periods.

Average BTL investors’ property portfolios consist of six properties, the company says.

On Friday, mortgage lender Halifax reported a 0.5% decline house prices for February, conflicting with earlier Nationwide figures, indicating a 0.5% increase in February’s prices.

Lee Grandin, managing director of Landlord Mortgages says: “Landlords are generally astute investors who manage their portfolios skilfully and many are currently taking advantage of the opportunities offered by a rocky housing market.”