However, the quarterly buy-to-let confidence report, which provides an authoritative insight into the sector by canvassing respondents on key buy-to-let issues, showed that 16 per cent of respondents believe demand was decreasing – an increase of over 50 per cent from the first quarter of this year.
A total of 42 per cent of respondents believe demand for rental property has remained the same and 36 per cent believe it is increasing.
The report also revealed there had been no increase in tenants arrears from the first quarter, and 78 per cent of respondents had not experienced a void period during the last six months.
Looking forward, 40 per cent of respondents said they intended to increase their portfolios over the next six months and just over a half said they intended to maintain their portfolios at their current levels.
Roger Hillier, product development manager at Mortgage Express, said: ‘‘There has been a small drop in demand for buy-to-let but void periods have remained low and most investors have said they will maintain or increase their current portfolio. This suggests the long-term outlook for buy-to-let remains strong.”
Rod Murdison, proprietor of Murdison & Browning, said: “We haven’t witnessed any upsurge in buy-to-let investors adding to their property portfolios but the market is still healthy. Even if interest rates went up further or there was a recession I can’t see this market falling. People still need a place to live.”
