Almost one in five landlords across Britain is planning to sell up.
According to the National Landlords Association, the proportion planning to sell before last July’s Budget was 7%, and is now 19%.
In every part of Britain, more landlords are planning to dispose of property.
The NLA says the increase was triggered by the restriction of mortgage interest relief announced by Osborne in the Summer Budget.
The NLA says that this will leave many landlords worse off, forcing some basic rate taxpayers into a higher tax bracker, and leaving higher and additional rate-payers with considerably bigger tax bills.
The organisation’s CEO Richard Lambert, said: “Local property markets vary greatly across the United Kingdom, but we are seeing a loss of confidence across the board as many landlords realise they won’t be able to remain in the market.
“If landlords follow through with their intentions over the coming months this could lead to a massive sale of property, as we have previously warned.
“However, this may not be a straightforward process, especially for those with stock in low demand areas.
“We urge those considering selling up to think about when they will need to do so, and to plan ahead now in order to minimise the risk of losing money as a result of a failure to sell.”
Full regional breakdown:
|
Region |
Intention to sell
July 2015 (before Budget) |
Intention to sell Jan 2016 |
% Difference |
| London (Central) | 4% | 19% | +15% |
| South West | 6% | 20% | +14% |
| East Midlands | 15% | 28% | +13% |
| Wales | 10% | 23% | +13% |
| North West | 9% | 22% | +13% |
| London (Outer) | 8% | 21% | +13% |
| South East | 7% | 20% | +13% |
| East of England | 5% | 18% | +13% |
| Scotland | 9% | 19% | +10% |
| West Midlands | 10% | 19% | +9% |
| Yorkshire | 13% | 22% | +9% |
| North East | 17% | 24% | +7% |
| UK average | 7% | 19% | +12% |
* NLA Quarterly Landlord Panel – July 2015 (977 respondents)
**NLA Quarterly Landlord Panel – Jan 2016 (1364 respondents)
Comments (5)
We are finding more landlords trying to buy in rather than buying out.
My business manages over 1,500 apartments in Northamptonshire. We are not involved in sales or letings, but see the transactions. This is our busiest month since 2007.
Definitely landlords getting out, but most are going to other landlords who are either joining the market or expanding.
The idea that The Chancellor had, was to get more owner occupiers and squeeze out landlords.
My experience suggests this policy is a 100% failure.
I suspect he meant where did the NLA get their data from, it does seem at odds to what we see happening with many landlords trying to beat the April deadline on new purchases
What utter ********, I work in Sheffield and not one landlord we deal with wants to sell, with most wishing to aquire more. Where do you get this poppycock from?
NALR – Did you actually read the story? It is absolutely clear where it comes from.