The stability seen throughout 2015 in the private rented sector (PRS) continued in the third quarter of the year, with yields growing modestly and steady tenant demand remaining high, according to latest research.
Paragon Mortgages’ PRS report also reveals that landlords expect conditions to remain stable over the medium term. On indicators of future confidence such as expected yield growth and tenant demand over the coming 12 months, the forecast is for levels to remain the same, rather than expand or contract.
“In Q3’s PRS Trends Survey we see the overall trend of 2015 continuing,’ said John Heron (pictured), director of mortgages at Paragon.
“Yields are growing modestly and tenant demand remains consistent. And despite regulatory and taxation changes on the horizon, the expectation amongst landlords is for the picture to remain the same over the coming year.”