Nearly one-third (29 per cent) of landlords in the UK stated that rental income increased during the second quarter of this year, research released by Paragon has shown. In some cases, rates have risen by as much as six per cent, the survey revealed.
However, a higher number of professional landlords have boosted their rental income during the first half of 2011, than those who operate on a smaller scale. And with Paragon Group chief executive Nigel Terrington noting that demand for rented property is expected to grow, Buy to Let may become a more attractive investment.
"Landlords are continuing to experience high levels of demand for their properties so have been able to make small increases to rent levels, without making accommodation unaffordable," he stated. Meanwhile, one in four respondents anticipate further growth in tenant demand over the next 12 months.
Meanwhile, Paul Fletcher from the Residential Landlords Association recently advised property investors to seek out homes near schools, because this could result in a long-term let from a family.