Landlord Voice Magazine July 2015 - Doncaster | Page 6

UK landlord hotspots - 5 year change Rank Survey shows private rental sector is buoyant T he General Election campaign of 2015 saw political parties across the spectrum vying for their say over the future of the UK’s undersupplied housing market. And while Labour’s plans for rental caps and three-year tenancies may have spooked a few, the Tories’ plans to build 200,000 new homes during the course of this parliament seem to have done little to deter buy-to-let investors. But this is hardly surprising when you consider the findings of a report published last year by the Home Builders Federation. The National Landlords Survey found the UK was a million homes short of what was needed to plug the UK housing gap. Simple Landlords Insurance surveyed more than 1,400 landlords about their experience of the buyto-let market – and the results paint a picture of a buoyant private-rented sector. The survey found that 48 percent of respondents owned more than two rental properties while 11 per cent had more than five. Furthermore, the data showed 56 percent of respondents had made a conscious decision to invest in a buy-to-let property reflecting the demand for housing in their areas. Seventy-eight percent of landlord respondents said they were confident they could find a new tenant for their property within four weeks if it were to become unoccupied. And with figures released by Homelet showing rents shot up by 12.5 per cent across the country during the second quarter of the year, it is telling that 69 percent of Simple Landlords Insurance survey respondents said they had evicted tenants due to rent arrears. Twenty-four percent said they planned to increase rent in the next 12 months and with rents at such a premium it is perhaps also unsurprising that 55 per cent of the National Landlords Survey respondents held rental yield as their motivation for investing. The survey also threw up some interesting regional variants. It showed the best performing areas for buy-to- let were the midlands and south central England. In the midlands: • Thirty-six percent of landlords in the region said they were looking to increase the number of rental properties they owned in the next year compared with 33 per cent nationally • Forty-nine percent of midlands landlords said if they had to find a tenant in the next 12 months they could do so within four weeks, compared to 44 percent nationally In South Central England: • Thirty-six percent of landlords in the region said they were looking to increase the number of rental properties they own in the next year compared with 33 percent nationally • Forty-seven percent of south central landlords said if they had to find a tenant in the next 12 months they could do so within four weeks, compared to 44 percent nationally To read more about the Home Builders Federation report visit http://www.hbf.co.uk/media-centre/ news/view/housing-shortage-hits-one-million/ The survey results were matched against Simple Landlords Insurances data which showed some UK cities had seen remarkable changes in terms of popularity as buy-to-let destinations during the last five years. The data showed: • Cardiff was now the fifth most popular UK buy-to-let destination – having jumped nine places from 14th • Hull had jumped 14 places – from 28th to 14th • Edinburgh and Scotland had fallen by seven and five places respectively – from 12th to 5th and from 8th to 13th The following pages show the key findings from the survey. www.simplelandlordsinsurance.com 6 | LandlordVoice | July 2015 2008 / 2009 1st London 1st 2nd The National Landlords Survey 2015 City / Town Manchester 3rd 3rd Birmingham 2nd 4th Nottingham 6th 5th Cardiff 14th 6th Liverpool 7th 7th Leicester 10th 8th Leeds 4th 9th Sheffield 11th 10th Bristol 9th 11th Bradford 12th 12th Edinburgh 5th 13th Glasgow 8th 14th Hull 28th 15th Reading 15th 16th Coventry 17th 17th Newcastle-upon-tyne 13th 18th Stoke-on-trent 18th 19th Southampton 16th 20th Doncaster 19th - - - www.simplelandlordsinsurance.com July 2015 | LandlordVoice | 7