'Savvy landlords will not need to sell'

News Category: Industry News

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Landlords who minimise risk by ensuring they have a cash reserve in place after investing in property should avoid problems in the current financial climate, it has been suggested.

Simon Zutshi, founder of the Property Investors Network, said landlords selling property may have got into financial difficulties because they did not have extra financial resources to support them.

It comes after research by Business Development Research Consultants into the private rented sector suggested that "portfolio is the key to survival in this market".

Letting agents might also want to target landlords with larger portfolios as the study showed that 100 per cent of buy-to-let investors with 20 properties or more were making higher profits.

Mr Zutshi said landlords who make sure they have cash reserves in place are better positioned financially to meet unexpected financial problems related to bills or "mad tenants".

He added: "As long as you follow those rules, now is an excellent time to buy because it is a real buyer's market."

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