Joe Public landlords remain confident

Confidence remains robust, despite interest rate rises, with landlords investing for the long-term more than half of landlords are planning to increase their property portfolio.

The typical buy-to-let investor is male, aged between 36 & 45 years and has between one and five buy-to-let properties Brighton is revealed as the UK’s most popular buy-to-let location.

Buy-to-let landlords are more Joe Public than Duke of Westminster, according to the largest ever survey of UK landlords since the inception of the buy-to-let market. And the current most popular spot to buy…the sunny South Coast city of Brighton.

The survey of nearly 5,000 landlords by Bradford & Bingley, the UK’s leading buy-to-let lender, revealed that those most likely to invest in the buy-to-let market in 2007 are everyday people who are looking for capital growth and a means to supplement their pension pots. The majority successfully hold down a day job in addition to maintaining their rental properties. Only 10% of buy-to-let investors are self-employed as a full-time professional landlord.

Contrary to the misconception that landlords are in it for a quick buck, most are investing for the long-term, with half of all respondents (50%), confirming that they have been investing in property for over five years, to date. Only 7% have been investing for under a year.

Given their long-term view, recent interest rate rises have failed to diminish landlords’ confidence in the market, with a greater number of respondents planning to increase or maintain their property portfolio (88%) than at the same time last year (86%).

There was also increased landlord confidence in regard to rent levels, with 96% of landlords expecting rent levels across their portfolios to either increase (34%) or stay the same (62%) over the next six months. This was an increase of 7% on the same time last year.

Profile of the typical buy-to-let investor

The typical buy-to-let investor is male (64%) and between 36 and 45 years of age (33%)

63% have between one and five buy-to-let properties

Half of landlords (50%) have been investing in property for over five years

71% are either full-time employed or are self-employed in addition to renting out properties

The most popular investment property is still the terraced house, with 58% of landlords having at least one terraced house in their property portfolio, up from 52% last year

Brighton revealed as the UK’s most popular buy-to-let location

The South East is the most popular area for buy-to-let investment, with 29% of landlords owning an investment property in the region. Brighton is revealed as the jewel in the South East’s crown, enjoying the fastest rate of growth at present. Its popularity among buy-to-let investors is largely driven by its vibrancy, large student population and proximity to London.

Over a fifth of landlords (23%) own buy-to-let properties in London, making it the second most popular part of the UK in which to invest.

Across the UK, landlords reported a healthy mix of social groups amongst their tenants, with couples accounting for 45% of tenants, single people for 36% and students 12%.

Andy Wiggans, director of mortgages at Bradford & Bingley, said: “Despite recent reports of a slowdown in the buy-to-let sector, our biggest ever survey of those at the heart of the market shows it remains strong. Higher interest rates may have an effect on cash flow but they have no impact on long-term capital returns. Buy-to-let remains a popular market that attracts a wide spectrum of people from all walks of life looking for long-term capital growth or a means of supplementing their pension."