Posted on

Buy to let remains a popular investment despite recent changes to legislation

buy to let landlords

A recent survey of 5000 investors by a London based agency had reported that the Buy-to-let investment model remains the most popular amongst those surveyed.

Although the market is currently seeing a raft of new legislation, covering all aspects of the rental market, 73% of these investors still see property investment as the most stable, least volatile long-term investment available.

Recent legislation has changed stamp duty, tax-relief and tenants fees, making the sector less profitable but the long term impact of these changes is seen more as a bump in the road by many businesses with the size and scale to make adjustments for the long term.

Smaller rental operators may have lost interest and be leaving the sector and certainly the government is seeking to weed out unscrupulous landlords and improve the quality of the businesses that own and manage rental properties, but those with scale are coping well with the new rules.

With Brexit looming there will no doubt be further changes made as the impact of this significant political development  feeds down into the nuts and bolts of property management. However the fundamentals of the investment are still there for the responsible landlord.

Renting property is popular amongst students and young professionals as well as many families. Having the right partner to help you find and manage your tenants will help you generate a steady, reliable income. Buying and maintaining the right kind of property, in the right area, means that you will have capital appreciation as well as this rental income.

Knowing all of the legislation can be difficult for landlords but that’s where choosing the right lettings agent as a partner can be a great help to you. Your agent will manage hundreds of rental properties so will be fully up-to-date with both local and national legislation.

Mistoria operates a team of local offices, staffed by knowledgeable,  friendly staff who work with dozens of landlords in the property rental sector. We cover all of the paperwork for you, ensuring you and your property are fully compliant. We will also source your tenants and manage their tenancy. And of course we handle payments and the money side of things giving you regular monthly statements of all income and expenses and making sure your payments are promptly made.

If you are currently struggling to manage your portfolio or are looking for a new partner to help you with your properties then please drop us a line or call us and we would be happy to show you our range of lettings services.

Posted on

Buy to Let lending has hit a new high

Buy to let lending has shown a healthy yearly increase.

For Sale MIST SALES website
Buy to let lending.

The latest report on buy-to-let lending has shown a healthy yearly increase for the sector.  According to research released in October. However, compared to November 2013 there was a visible 9% increase and 14% by value.

The data that has been released that there was a 17,700 buy-to-let loans during the month of November, which shows lending of around £2.4bn.

The number of loans did decrease by 10% and the value of these loans was 11% lower than figures which

Within the overall total of buy-to-let loans in November. The number of buy-to-let house purchase loans decreased by 12% compared to October but up 6% in comparison to November last year. The total was £1.1bn in value which was down 8% on October but up 10% on November last year.

The number of remortgage loans decreased in November, they went down 8% in October then risen up to 12% compared to November last year. These loans had a large total value of £1.3bn which shown it had dropped 7% in October but up 18% in November last year.

Why choose a Buy to Let fixed term product?

Due to these figures and the recent high in buy to let lending a new 10 year buy to let fix has been launched. The company Mortgage Works has recently announced that they have launched a new 10 year buy to let fix which they are aiming at landlords who are looking for longer term payment security. The new option is the longest fixed product in the buy to let sector and is currently the only 10 year deal for landlords on the market.

As part of the move to expand customer choice and offer competitive longer term rates, they are also launching a brand new 5 year fixed rate product. All 5 year and 10 year fixed rate deals continue to be stressed at 4.99% with a rental cover requirement of 125%.

The Mortgage Works have said that their 10 year fixed rate product is currently the only option like this in the market for those landlords who are looking to secure their payments for the long term not just the short. It will fill a gap in the market that has seen a trend towards opting for longer term options.

If you need more information on buying the ideal property for a buy to let mortgage please email info@mistoriasales.co.uk or call us 0161 707 6106. Mistoria Estate Agents dedicates it’s efforts to selling property for private clients and sourcing property for the property investment market. We have a dedicated team of property professionals with a wealth of experience whose remit is to introduce buyers to our clients.

Posted on

Landlord Advice, Why Students Make Good Tenants

Mistoria Estate Agents have compiled some top landlord advice as to why letting your property to students is the way forward…

HMOS: 
You can normally fit more students into your property than you would if it was a professional let. A three bedroom property can often accommodate 4 students meaning more rent for you, the landlord. It is possible to turn the lounge into a bedroom and make the kitchen the “social room”.

CHEAPER AREAS:
Students are prepared to live in areas that are not considered desirable by professional tenants, so the capital values of properties are much lower.

MORE RELAXED ON INTERIORS:
For undergraduate student tenants it is normally their first experience of life away from home, so the newness of the kitchen or bathroom suite is not always their priority when picking their accommodation. Having said that, landlords cannot afford to be complacent, standards are rising and mature and foreign students often demand professional levels of accommodation.

ADVANCES ON RENT:
Due to student loans being delivered in large installments some students find it works better to pay their rent in large lump sums in advance. In some cases the parents will pay upfront for each semester.

CAPITAL:
According to research, University towns have outperformed other towns in terms of house price growth.

Letting your property to students can be daunting but Mistoria Estate Agents can manage your property, from finding you tenants, looking after any maintenance and refurbishment issues to making sure your tenants look after your house.

We give Landlord Advice but more importantly manage EVERYTHING ensuring you have a regular income with no hassle whatsoever.

For information about buying investment property please take a look at MistoriaGroup.com