In a new report put forward by Shawbrook Bank, it was revealed that landlord confidence is at a high level.
Covid-19 continues to impact the property market and raise uncertainty, yet landlord confidence remains consistent.
Shawbrook’s Changing Face of Buy-to-Let Report collected this data by analysing the Office for National Statistics (ONS) population projections, ONS English Housing Survey, and Ministry of Housing, Communities, and Local Government data.
Landlords are confident about 2022
The research shows that 34% of UK landlords are planning to purchase one property to add to their portfolios over the next year.
Out of the 34% aiming to purchase a home nearly half (14%) aim to purchase more than on property, proving regardless of the uncertainty covid-19 continues to propel landlords are still willing to grow and take risks.
Some areas are considered more popular than others among UK landlords. The north of England is the most popular location as 23% hope to purchase in this part of England.
In total 13% aim to purchase properties in a new location, 36% plan to purchase in urban areas and 30% hope to purchase in rural areas.
During the Covid-19 pandemic, people have revaluated their living spaces and more people have sought bigger homes during a time where working from home became the norm. As a result, landlords are also considering different property types.
Semi-detached properties were the most popular property type among landlords as 34% are interested in this type of home, terraced houses were the second most popular as 31% are considering this property. Flats came in third place as 27% of landlords are open to adding this type of property to their portfolio next year.
Emma Cox, sales director at Shawbrook Bank, concludes: “The resilience of the UK property market is clear from our research. Despite the hurdles caused by the pandemic, the market has stood firm and house prices have continued to soar in price. This has created attractive opportunities for investors and property developers, whose confidence in the market has grown over the last 12 months. Their buying activity and trends show that the market is likely to remain strong over the short term.“
“Indeed, with 2021 announced as the “busiest year” for the housing market according to Zoopla, despite recent falls in transactions, it’s clear that the market has fully rebounded from the lows of the pandemic. As supply continues to be low, it’s unlikely that we’ll see house price growth slow significantly and as we move into January next year following the seasonal slowdown over Christmas, property investors will be seeking further opportunities to expand their portfolios.”