Two-thirds of tenants 'will stay with buy to let landlords for next five years'

10 June 2010

Written by Simon Whittaker

Buy to let landlords are unlikely to see two-thirds of tenants stopping renting to purchase their own property for next five years, research has found.

A study conducted by mortgage lender Kensington revealed that 13 per cent of people are currently leasing homes in the private rental sector and 66 per cent of them - around 5.3 million individuals nationwide - do not see themselves buying their own house before 2015.

About 90 per cent of respondents said they are worried that it is becoming more difficult to get on the property ladder in the UK, with 68 per cent predicting demand to rise for rented property in the next five years.

Kensington is sending a report to politicians before the coalition government's emergency Budget on June 22nd that aims to demonstrate that buy to let landlords are becoming increasingly important to housing supply.

The mortgage provider hopes that this evidence will force MPs the reconsider the capital gains tax hike that some have said could damage the sector.

Mike Warburton of accountant Grant Thornton, for instance, recently told the Daily Telegraph that raising the duty to a similar level to income tax would be "fundamentally unfair".

Why not take a look at our best Buy to Let mortgages and make an enquiry online now.