Experienced landlords set to sit tight through buy-to-let turmoil
News Category: Industry News
Published: 04-Jun-2008
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Only "a few" landlords will be looking to add to their portfolios this year as prices fall, one industry expert has claimed.
Tightening conditions in the housing market are likely to reduce the number of new purchases made by either landlords or ordinary consumers.
The comments follow a stark profit warning from the UK's largest buy-to-let lender, Bradford & Bingley, which blames its difficulties on defaulting buy-to-let lenders.
Speaking on BBC Radio 4's PM programme, technical manager at the London & Country Mortgages, Richard Morea, noted that most landlords will sit tight and consolidate their portfolios.
He explained: "The majority of landlords out there are now experienced landlords and they are in it for the long term.
"Our research has shown that the majority of them are at least looking to just consolidate and keep their portfolios where they are, and a few are looking to increase this year as prices fall."
However, landlords are likely to find it equally as hard to find a good mortgage deal in the current climate, which has seen a 73 per cent reduction in buy-to-let products available.
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