“Let’s” catch up! (Apologies for that, there’s no excuse)
A little lettings news catch-up… speculation this morning (following chatter in the Sun of all places) that the Government is about to cut short it’s consultation process and announce three-year minimum tenancy terms for private tenants. When the consultation period was announced, there were hints of financial inducements for landlords, as well as complicated annual rent increase caps/not caps relating to inflation. So far, landlords’ responses to the proposals have been mixed… more positive from built-to-rent than from buy-to-let, less positive from inside the M25 than outside. Meanwhile, Paragon’s latest confidence survey suggests landlords are getting their mojo back, with a positive outlook to buy-to-let lending for the first time since Osborne announced an end to tax relief on interest payments. However, the return to business is more about re-mortgaging than investment, with transactions down 40% on 2005 levels. Re-mortgaging is up 64%… a mixture of equity release and locking in rate deals. Finally, new research claims to show giant advantages for landlords investing in university towns away from London. TotallyMoney points to yields of almost 12% in some parts of Liverpool and Middlesborough. More here.