It is always worth paying attention to the latest research and statistics from the housing and mortgage sectors and a recent report into buy-to-let landlords could make a major difference for mortgage advisors in 2020.
Among the figures uncovered by BVA BDRC in its Landlord Panel survey for the third quarter of 2019 was that 84% were turning a profit by renting out properties, while a mere 3% were making a loss. The survey also found that the average yield from letting out properties had risen to 5.6% in Q3, marking a slight improvement on the figure for Q2, while asking rents for almost every part of the country were at record highs.
So clearly the outlook is pretty sunny for landlords, but what does all this mean for intermediaries in the coming year? Well, those profits could potentially lead to cost rises like interest on mortgages should property portfolios not be effectively managed and that is where they are likely to turn to qualified advisors for help.
More and more full-time landlords are becoming aware of the fact that they cannot afford to have costs eating into what is their main source of income. This is why we can expect to see an increase in the numbers seeking specialist support from someone in that sector, as a trained CeMAP mortgage advisor will know how to find the deals that can keep costs such as mortgage interest to a minimum.