Is buy to let a good option in 2022?
After another tumultuous year in the property industry, you’d be forgiven for not keeping up with the current state of the market. The impact of COVID-19 has seen stark changes in typical buying and letting behaviour, with a mass exodus of city residents in 2020 to greener, more spacious parts of the country, to a bounce back in incredible demand
After another tumultuous year in the property industry, you’d be forgiven for not keeping up with the current state of the market. The impact of COVID-19 has seen stark changes in typical buying and letting behaviour, from the mass exodus of city residents in 2020 to greener, more spacious parts of the country, to a bounce back in incredible demand.
If you’re looking ahead to 2022 and weighing up the options for property investment, we’re exploring the outlook for the buy to let market.
Why buy-to-let?
For those considering property investments as a way to grow income, buy to lets generally provide a safe and more controlled option with a monthly return on investment. With plenty of today’s population continuing to choose to rent, there’s no sign of the rental market taking a significant downturn in the near future, making buy-to-let a lucrative option.
Is now a good time to get a buy to let mortgage?
According to UK Finance new buy to let mortgages have doubled since September 2020, as new and existing landlords take advantage of the increasing rental demand. Whilst they predict a levelling out into 2022, lending figures look set to remain higher than those of 2019 and 2020.
Although individual circumstances will affect your mortgage eligibility, strong rental market conditions with lower risk suggest that it’s a good time for investors to apply for a buy-to-let mortgage.
Demand continues to outstrip supply
Likewise, with the Bath & Bristol area experiencing such a dramatic turnaround in rental demand and a squeeze on supply, rental price growth saw an incredible 13-year high during Q3 of 2021, with market values outstripping pre-pandemic levels. The good news for prospective buy-to-let investors is that rental growth is predicted to continue into 2022.
Which areas are best for buy-to-let investment?
With changes in living and working behaviour once again seeing many renters returning the rural areas outlying Bath & Bristol, rental demand has surged in areas like Paulton and Midsomer Norton.
With rental supply in more suburban areas typically thin, this provides a strong opportunity for rental yields.
If you’re looking for the perfect buy-to-let investment in the Paulton and Midsomer Norton areas and need guidance on the best areas for your budget, please contact a member of our sales team.
At Allen Residential we have extensive experience in the end-to-end sales, letting and property management processes and would be delighted to assist you.
If you are looking to buy your first buy to let property or indeed expand on your existing portfolio then the first thing you need to do is register with us for our unique 'heads up' property alerts by clicking HERE this will then alert you of any NEW properties coming onto the open market that would suit buy to let BEFORE they go onto the open market.
James Allen will be on hand to then advise you of yield capability, legislative responsibility and the on going process relative to buying, owning and building a rental portfolio
We have designed our own LANDLORDS DATABASE whereby you can register your requirements and not only receive off market purchase opportunities but also up to date LEGISLATIVE information relevant to owning and renting out a property
Simply fill out the online form HERE with your mailing details and we can update you via our LANDLORD NEWSLETTER
James Allen can be contacted directly via email :- james@allen-residential.co.uk or mobile 07773 412300
