Landlords to buy outside of cities
Property investors are increasingly looking to buy outside of cities, in the countryside and coastal town centres, research from business and landlord insurance provider Simply Business has found.
One in 10 (10%) landlords now plan to purchase properties compared to just 3% at the end of last year.
At the end of last year a third (29) of residential landlords already believed properties in city centres no longer represented a worthwhile investment.
Alan Thomas, UK chief executive at Simply Business, said: “The coronavirus outbreak and consequent lockdowns have been transformational in UK renters’ attitudes towards property, and therefore where landlords are looking to make their next investment.
“The pandemic has resulted in people spending more time at home – both for work and leisure, while many of the benefits of city living have been impacted. It’s no surprise to see that renters are valuing larger properties with outdoor space.
“There appears to be a shift in terms of what is considered a desirable property by tenants, and residential landlords – crucial to both the economy and the local communities where they provide housing – along with the market in general, are reacting to this.
“What is clear though, is that the UK buy-to-let market is going through somewhat of a transition, driven by a move away from the previous demand for city centre properties.”
Lockdown may have pushed up renter and homeowner demand in greener towns and villages, with figures from Rightmove also revealing that property searches have doubled for homes in small towns and villages with populations less than 11,000.