Landlords fear buy-to-let regulation and taxation, but no worries over Brexit

Landlords have identified regulation and economic uncertainty as their key concerns when running their buy-to-let portfolio, according to research.

A poll by insurer Direct Line found 41% of landlords saw taxation and economic uncertainty respectively as short-term concerns, while 40% were nervous about regulation, particularly the increased risk of prosecution and penalties from Right to Rent.

Respondents were also asked their views on how Brexit would impact them, but 28% actually felt it would be a positive factor on their portfolio.

Almost a third (31%) of landlords also felt house prices would bring them benefits, while low interest rates and domestic demand for rental properties were also seen as positive factors by 29% and 28% respectively.

Christina Dimitrov, business manager at Direct Line for Business, said: “It’s great to see landlords being resilient towards the ever-changing property marketplace and it’s really positive to hear they don’t appear to be worried about Brexit and the impact on demand.

“The continued low interest rate environment can only benefit landlords and tenants.

“However, experts are predicting an interest rate rise in the future and the Prudential Regulation Authority’s tougher underwriting rules for buy-to-let mortgage lenders may bring some challenges for landlords wanting to expand their portfolios.”

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One Comment

  1. Will

    My personal view is the UK Government is a far greater risk to the private rented sector than the EU ever were.

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