The private rented market is set to grow and change rapidly, as more players step into the build-to-rent market.
A new ‘Generation Rent’ report from rating agency Standard & Poor’s comes as the Chancellor has made plain that he intends to keep small private buy-to-let landlords in his sights, while encouraging institutional investment.
The Standard & Poor’s report says that big players already include Venn, M3 Capital Partners, Prudential Financial, M&G, and Legal & General, while some £10bn is already available in funding.
The report believes that the private rented sector will grow a further 40% over the next ten years, adding: “We believe this will increase scope for institutional investments in the PRS, which up to now is still dominated by buy-to-let, made up largely of private individual landlords.”
In London alone, says the report, there are 16,000 purpose-built private rental homes either at the planning or construction stage.
The report does not mention the implications for letting agents.
Comments (2)
Yes, I see that Standard and Poor’s Report effectively underlines my blog article of last year… http://www.landlordsandletting.co.uk/Blog/osborne-bashing-buy-to-let-to-help-his-city-friends/
100% correct. I don’t think that the government even hide the fact that all recent policy on BTL is designed to help the large institutional investor get a bit of the private rented sector pie.It’s just all to cynical and obvious.
When the chancellor wakes to todays headlines I can’t help but feel “what goes around comes around” Not so smug now George.
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