Housing market investors ‘losing out financially’
Buy-to-let property investors may find themselves getting into debt as the market tightens, a new survey suggests.
Unbiased.co.uk, a consumer search service website, has released figures showing buyers could be struggling financially after the collapse in the market.
Chief executive of the site David Elms said: “Unfortunately this boom couldn’t continue forever and those invested in the buy-to-let property market may now be facing losses due to the current economic climate.”
People looking to purchase buy-to-let properties may find it more difficult to secure financing as mortgage lenders restrict their lending criteria, Mr Elms added.
The research showed that 28 per cent of individuals in the UK believed buy-to-let investors would lose money during the present downturn, while 23 per cent felt they could break even.
Some 18 to 34-year-olds still had confidence in the market with ten per cent feeling there could be considerable money made through buy-to-let schemes.
Recent Bank of England statistics revealed remortgaging approvals in April decreased to 31,800, the lowest level of 2009.
By Francis Finch
