Rental demand 'boosted' - buy to let mortgages

21 November 2008

Demand for properties to let remains high as potential home buyers are looking to rent while they seek a mortgage, it has been claimed.

Steven Hilton, a media relations manager for the National Landlords Association, has highlighted how those with buy to let mortgages may be benefiting from the current situation in the housing market.

Demand is being boosted as home seekers increasingly "turn to the private-rented sector" after finding it difficult to be approved for a homeowner loan, he said.

But Mr Hilton warned that vendors who are unable to sell their properties are also entering the market as "accidental landlords".

"This can lead to problems as inexperienced landlords, who take a short-term view to letting their properties, could find themselves out of their depth," he explained.

He went on to advise this group to obtain advice if they are considering entering the private-rented sector.

The latest survey by the Royal Institution of Chartered Surveyors showed that would-be buyers are turning to the rental market.