Lenders find landlords planning rent hikes

Almost a fifth of mortgaged landlords have admitted they will raise rents to mitigate impending buy-to-let tax changes, a survey has revealed.

The Council of Mortgage Lenders (CML) commissioned YouGov to poll 925 landlords about how they would cope with the mortgage interest relief reductions being introduced in April.

Raising rent was the most commonly cited plan, among 19% of respondents, while 5% said they had already imposed increases.

One in five said they would consider transferring into a corporate structure to maintain the relief and one third were considering remortgaging to cut costs.

Looking at other reforms, one in four said the higher Stamp Duty rates had stopped them expanding their portfolio, while one in ten were planning on exiting the sector.

Despite the upheaval in the rental sector, almost a quarter (23%) of landlords still had positive expectations for the next two years.

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One Comment

  1. seenitall

    Amazing and guess what?

     

    When the tenant fee ban comes in to agents we as agents have confirmed to our landlords that will be charging a lump sum of about £350  but dont worry it wont cost them anything in-fact they will gain –  will increase the rent to the tenants by £30 a month  so its cost neutral for the landlord and tenant in the first year but sadly in year 2 + it costs the tenant more.

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