20
Feb
Buy-to-let investors 'being lured back by low rates'
Low interest rates are bringing buy-to-let investors back to the
market, it has been stated.
Head of operations at the Association of Residential Lettings
Agents Ian Potter told the Times recent base rate cuts and a
perceived superiority of property as an investment compared to
stocks and shares was leading to a resurgence in interest.
He commented: "With interest rates at one per cent, our members are
seeing investors tempted back into the buy-to-let market as rental
yields offer a greater return than the banks."
Such a sentiment may echo recent findings in research by the Royal
Institution of Chartered Surveyors (Rics).
Investigating the recent trend of rising buyer interest, Rics found
that 38 per cent of surveyors have detected an increase in
investment buyers in the market.
It also established that 35 per cent believed lower mortgage rates
were a reason for the extra interest, while 71 per cent pointed to
reduced prices.
