I Am The Blog

The latest property news from your online estate agent.

Number of First Time Landlords Entering the Buy-To-Let Market at its Highest Level Since September 2012

A new survey by one of the UK’s largest landlord providers has cast an optimistic light on the buy-to-let industry. Mortgage provider Paragon has confirmed that the number of first time landlords entering the market is now at its highest level since the third quarter of 2012.

After reaching its lowest level in the middle of the 2008 crisis, new landlords have steadily found their way back into the market according to the data from Paragon. Mortgage approvals for first time landlords are now buoyant, with around 20% of intermediaries business coming from that sector on average. In the period Jan – March 2013, 22% of intermediaries’ buy-to-let deals came from first time landlords rather than those looking to add to an existing property portfolio. 

Rebecca Peach, managing director of online letting agent I Am The Agent, has also seen an increase in business from first time landlords. She said, “Throughout 2013 we have seen more and more first time landlords contacting us. These are typically individuals who already own their own home but have access to a deposit or other flexible finance and see an opportunity to invest in property while there are still good deals to be had. They typically consider these properties a longer term investment and are usually considering adding a second or even third house or flat to rent to their portfolio a little further down the line.”

The private buy-to-let market has been one of the biggest success stories of recent years, with new data from the Council of Mortgage Lenders revealing that buy-to-let now accounts for 13% of all mortgage lending. Its figures show that in the first quarter of this year, 33,500 mortgages totally more than £4.2 bn were advanced to buy-to-let landlords.

As one of the web’s fastest growing online estate agents, I Am The Agent has more than 75,000 registered users. Many are tenants seeking a property to rent or landlords who want to rent a property online. It has developed a range of services for landlords, all based on an easy to manage fixed fee package. These types of flat rate packages, with no commission in the event of a tenant leasing the property, are incredibly popular with first time landlords, who don’t want the added expense or complexity of working out letting agent fees. In addition to listings, I Am The Agent also offers services such as credit referencing and property management.

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