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Buy-to-let – The Secret behind a Booming Market

Oct 8, 2014   //   by mecadmin   //   blog  //  No Comments

The UK with its rising residents and a huge deficit of available housing faces a crisis. The deficiency of properties has pushed up house values beyond what people can afford in many areas especially the rural ones.


This has meant some people had to resort to renting instead.  It’s usually much cheaper to rent; additionally for those that are planning to eventually buy; it gives them time to save for a deposit.


Why buy-to-let is growing


Today, peoples’ lifestyles have become ever more flexible. With most juggling in between work and study more frequently. For them, renting offers more flexibility than buying a house.


In 1988, the tenancy laws were reformed to allow property-owners to get their property back by simply giving adequate notification to the tenant. In 1996, special 'buy-to-let mortgages' for landlords became obtainable, making it much easier for investors to borrow money to buy property to let.


Successful buy-to-let depends upon:


  • The location of the property which should appeal to a huge variety of tenants from students to working professionals. Good tenants who will pay the rent and look after the property
  • Having the ability to manage the tenancy properly
  • Complying with all the rules and regulations when letting a property
  • The most common mistake for buy-to-let investors is getting attached to their property emotionally. It's generally an investment and would be a mistake to treat it as your own home.

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