UK lettings market 'remains healthy'
The residential lettings market in the UK remains relatively strong for landlords, an expert has said.
According to Daniel Cox, sales director at property management firm WMP Group, there is plenty of opportunity for property investors to let out their developments because of rising demand for rental properties from tenants.
Moreover, lending criteria is quite strict at the moment, so potential home buyers who cannot find a mortgage are being forced to rent.
Mr Cox pointed out that younger people in particular are finding it increasingly difficult to get their feet onto the first rung of the property ladder.
"If you are a young person earning a reasonable wage of around £25,000 to £30,000 a year, then you are still going to struggle to get a mortgage," he said.
"That is why renting is the way to go at the moment. It is difficult to save while you're renting, so it is a catch 22 situation. If the mortgage deals become better, then you'll have a chance."
As the UK lettings market becomes more buoyant, interest from foreign investors could witness a rise.
Foreign property buyers are advised to make sure they conduct thorough research using good currency comparison firms to determine whether or not they will be getting a good deal.
The Royal Institution of Chartered Surveyors recently reported that the proportion of surveyors that experienced a rise in their rents during the three months to October 2011 increased by 19 per cent.
However, the pace of growth was more moderate than earlier in the year.