Buy-to-let still viewed as an attractive investment

A survey of 1,000 investors found that 37% see it as attractive compared to 23% who don’t.

Buy-to-let still viewed as an attractive investment

Buy-to-let is still viewed as an attractive investment despite the government crackdown on the sector, data from bridging lender Market Financial Solutions has found.

A survey of 1,000 investors found that 37% see it as attractive compared to 23% who don’t.

Buy-to-let has had to cope with a range of government measures designed to dampen down the sector, with the latest being last week’s reduction of mortgage tax relief.

Investors are eying up other forms of finance, as 37% are considering looking at short-term and alternative lending in the next two years as the UK plots its exit from the European Union.

They are refusing to be put off by the Brexit negotiations, as just 9% think negotiations will derail their investment plans over the next two years.

Paresh Raja, chief executive of MFS, said: “UK investors have spoken loud and clear, signalling their intent to continuing pursuing investment opportunities during the two-year Brexit negotiations that are now underway.

“However, this research reveals that they are doing so with a more short-term and open-minded mentality, as investors seek different investment types to secure returns before the true effects of Brexit set in.

“Despite tax and legislation reforms directed at the country’s landlords, interest in buy-to-let investments remains high – something spurred on by the health of the property market and unrelenting rental demand.

“What’s more, within the coming 24 months of Brexit negotiations, a large number of investors are turning to alternative finance and short-term lending options to enable them to execute a responsive investment strategy in light of the long-term uncertainty surrounding Britain’s political and economic landscape.”