It used to be all about capital growth, rent was there purely as a lubricant to the wheels of property price growth, to pay the mortgage whilst a property doubled it's value.
Not anymore, as most landlords can appreciate, the housing market won't be doing much for a long while. So now the focus is back on rents and with the perceived idea that these are only going to head up to meet with an increasing demand, BTL is booming again.
President of the ARLA, Tim Hyatt agrees with this current thinking, “The logic for entering the market has see-sawed from capital growth to rental income,” he also went on to say that “the average buy-to-let landlord in the UK is in the market for 16 years so the investment can weather almost any storm”.
Well rental property does seem to be able to roll with the waves, unlike some investments that just don't have that resilience in differing economic environments, dare I add buoyancy to my storm laden description.
That is of course unless we get the perfect storm, and then we'll all be sank.
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