Buy To Let 14 11 2007 - News Archive

Buy To Let

The buy to let market has increased considerably in the last 10 years. There are currently around 1 million buy to let mortgages compared to around 20,000 ten years ago. Of which 100,000 where issued this year alone.

Buy to lets usually yield between 3 – 5 % of their value. Some landlords have been investing purely for the capital gains rather than the rent income and now have properties with a negative equity.

There is expected to be a large number of landlords selling up next April when Labour makes changes to capital gains tax. These changes will see the tax paid on gains drop from 40% to 18%. There is a lot of speculation as to what effect this will have on the housing market.
 
:: Added on: 14:11:2007 ::

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