A successful private rental sector is enabling portfolio expansion

Continual change in London’s property market has led to an increasing number of residents renting privately. The last 12 months alone have seen the addition of 150,000 households to the private rental sector. The combination of ongoing capital appreciation and rising numbers of renters have raised the value of the private rental market, and strong returns have encouraged further investment into the sector to support the growth.

The result is an overall sense of optimism amongst landlords and investors, and research shows that 24% of property investors are intending to add to their property portfolio over the next 12 months. In most cases, landlords use capital appreciation for portfolio growth, and forecasts for first time landlords show that they are likely to be in a position to secure their second property within ten years.

Expanding a property portfolio offers long term financial security, as investors can benefit from price inflation on additional properties. The increase in support from the remortgaging market has given landlords the opportunity to build up their portfolios. Figures from the Council of Mortgage Lenders reveal considerable increases in buy to let loans throughout the year so far. Increasing product variety, competitive rates and assistance from lenders means lucrative opportunities for multiple-property landlords.

As an investor, your primary concern should always be rental income. Buy to let is of course a business, and it comes with risks like any other. Researching the market can provide landlords with key insight that can aid purchasing decisions and help you secure the most attractive investment opportunities.

As an experienced lettings agent in Hammersmith and Fulham, we offer investors and landlords comprehensive support. Whether you are a first time landlord or an established investor looking for the next addition to your portfolio, we can assist. We will carry out a free review of your existing portfolio without obligation and present you with any opportunities to maximise your returns on a yearly basis. Our portfolio services are designed to offer individual solutions and to help each investor achieve their financial goals within the private rental sector.