The buy-to-let market has grown beyond all recognition over the past decade. Once viewed as a niche market, buy-to-let now accounts for a sizeable chunk of all mortgage activity, and looks set to increase over the coming years.
Because of the rising cost of living, an increased desire from individuals to have flexibility and the ability to move quickly, and the constant shift in lifestyle choices, more and more people are taking the opportunity to rent rather than buy a property. Because of this, landlords, property investors, and the buy-to-let market as a whole should see continued growth. Indeed, recent research by BM Solutions indicated that 18 per cent of single people choose to rent due to the flexibility it provides, while close to 80 per cent of single parent families are forced to live in rented accommodation as they do not believe that they can afford to service a mortgage. 14 per cent of married couples with children admitted that existing unsecured debts would prevent them from obtaining a mortgage, and so chose to live in rented accommodation. Regionally the study indicated that almost three-quarters of Londoners were forced to rent due to high property prices.
Mortgage Introducer’s Buy-to-Let Forums, in association with Mortgage Times, highlighted the issues affecting the growing market. Looking at sector developments and technological and product enhancements, in addition to market concerns, the forums, held in London and Manchester, brought together a number of industry commentators to discuss the future potential of this bustling market.
Covering everything from the legal implications involved in the buy-to-let market, to technological enhancements, the forums were attended by over 200 mortgage intermediaries and advisers and provided a platform for those active in the market to show how to maximise the opportunities available.
It is clear that the buy-to-let market provides a good opportunity for intermediaries keen to expand their proposition and the market looks set for a period of continued growth, driven by rising house prices and consumer demand.
