Landlords 'still looking to expand portfolios'

Despite four interest rate increases rate rises since August 2006, landlords with a portfolio of property remain confident in the buy-to-let market, a new report suggests.

Bradford & Bingley survey nearly 5,000 landlords and found that over 50 per cent had been involved in the buy-to-let market for more than five years.

This meant that landlords took a long-term view of their portfolios, with 88 per cent saying they were planning on maintain or increasing their portfolio of properties in the coming months.

Similarly, the vast majority of landlords (96 per cent) revealing that they think rents will either increase (34 per cent), or stay the same (62 per cent) over the next six months.

"Despite recent reports of a slowdown in the buy-to-let sector, our biggest ever survey of those at the heart of the market shows it remains strong," said Andy Wiggans, director of mortgages at Bradford & Bingley.

"Higher interest rates may have an effect on cashflow but they have no impact on long-term capital returns.

"Buy-to-let remains a popular market that attracts a wide spectrum of people from all walks of life looking for long-term capital growth or a means of supplementing their pension."

Elsewhere in the report, it was found that Brighton was one of the best places in the country to own rental property. London was revealed as the second best place for landlords to consider a purchase.