Press Release Summary: With Christmas coming, it\'s traditional to offer a bit of seasonal cheer, but it would appear no special reason is needed to provide some for the buy-to-let industry.
Press Release Body: With Christmas coming, it\'s traditional to offer a bit of seasonal cheer, but it would appear no special reason is needed to provide some for the buy-to-let industry.
This, of course, may seem a controversial point. Those reading some of the headlines about buy-to-let might imagine it to be heading for a miserable festive season. But the Association of Residential Letting Agents (Arla) would beg to differ.
Spokesman Malcom Harrison stated that, in the first instance, demand for rental property is currently strong, with demographic factors like divorce and immigration, plus cultural ones like the growing acceptability of renting helping to keep the market buoyant.
Furthermore, he said, the weaker house-buying scene is undoubtedly to the advantage of the buy-to-let market: \"The rented sector always sees more demand when house prices soften and that has always been the case. If we didn \' t have a private rented sector that had picked itself up from seven per cent to 12 per cent, then house prices would be much higher than they are now.\"
This second point, of course, is of real pertinence now. While some have claimed that buy-to-let investors have contributed to the shortages of homes available to buy, the residential sector has been able to retort that they are better able to meet the high level of demand for renting when affordability or, just as importantly, other circumstances generate it.
Moreover, suggested Mr Harrison, buy-to-let remained a good investment provided the right levels of care and attention were paid to it: \"It is very much a safe market provided that people take the right advice, have done their sums right and asked local letting agents what the local markets wants.\"
While Arla sees the present as sound, property investment consultancy Property for Life sees the future as bright too, with three interest rate cuts helping buy-to-let enjoy a very fruitful 2008.
Property for Life managing director David Austin said the market would pick up the \"slack\" in the social housing sector, while the rental returns picture would brighten more as the year went on and the overall property market started to recover.
He stated: \"Having fallen back in some areas, rental yields will improve as a result of strong growth in rental values. In addition, the problem of oversupply of apartments in some of the city centre areas will start to be corrected.\"
Mr Austin cited areas such as the M4 corridor, university towns and places in regeneration as the best prospects for the industry.
But whichever locations fare best, the message from the industry seems clear: Buy-to-let looks set for a merry Christmas and a happy new year.
In today\'s world Property investment is an excellent investment option especially investment in UK
2022
