More landlords are choosing to expand their property portfolios today than they were a year ago, according to a new survey.
Mortgages for Business reports than almost half of landlords would like to continue investing, despite the recent tax and stamp duty changes affecting the buy-to-let market.
A year ago, only 41% of landlords wanted to expand their property portfolios, compared with 48% today.
This demonstrates that landlords have been able to adapt to the changes, which include a 3% hike on stamp duty for buy-to-let properties (introduced in April 2016) and mortgage interest tax relief restrictions, which are currently being phased in between April 2017 and April 2020.
Chief Operating Officer of Mortgages for Business, Steve Olejnik, said: “these results demonstrate that landlords are a resilient bunch, capable of adapting their investment strategies to successfully accommodate the new fiscal and regulatory landscape.”
Landlords have been taking steps to maximise their chances of continuing to draw good returns from their property investments, including seeking the advice of tax advisers and a growing preference for five year fixed-term rates.
Earlier this year, Mortgages for Business released data which showed an increase in the number of landlords turning to limited companies as a way to sidestep the tax changes.
With tenant demand still high in London, landlords have a crucial role to play in providing rental accommodation, so this news is positive.
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