Precise Mortgages has revealed that the North West is expected to be the busiest region for landlords.
Its study (conducted by BDRC) found 22% of landlords plan to buy in the North West followed by the South East and Yorkshire & The Humber which 16% of landlords are targeting for new properties.
Regions reporting a higher proportion of buyers than sellers in the next 12 months included the East and West Midlands plus the South West and North East.
68% of buyers plan to fund their next purchase with a buy-to-let mortgage while just 18% will release equity from existing properties. Demand for mortgages is similar across all portfolio sizes although 23% of landlords with 11-plus properties will release equity.
Brokers continue to dominate the market – almost 73% of landlords used a mortgage broker or intermediary to arrange their last buy-to-let mortgage, while 19% went direct to a lender.
Landlords with six to 10 properties were the most likely to use brokers at 79% while 29% of landlords with one property dealt directly with a lender.
Alan Cleary, managing director of Precise Mortgages, said: “The increasing professionalisation of the buy-to-let market means landlords are becoming more focused and selective in where they buy properties and how they fund their purchases.
“Recent rate cuts across the buy-to-let market are highlighting the opportunities to increase portfolios and profitability as well as underlining the need for expert advice from brokers particularly among landlords with bigger portfolios.”
