Number of UK landlords hits record high of 2.7m

Residential property market continues to outperform other asset classes

The number of landlords in the UK has hit an all-time high of 2.7m, rising 49% from 2015, when there were 1.8m buy to let landlords.

Residential property has been one of the most consistently performing asset classes throughout the course of the pandemic. Whilst the economic impact of the pandemic has led to listed companies cutting or even suspending dividend payments, income from rental property has remained relatively stable.

The commercial property market, unlike the residential market, has been severely impacted by coronavirus, particularly hurting landlords operating in the retail, leisure and hospitality sectors, which have had to contend with two national lockdowns as well as regional restrictions. A study shows that UK listed property companies collected just 67% of rents owed for the June quarter, with the figure dropping to 54% for those with exposure in hospitality.

By comparison, out of the 1,500 tenancies managed by ludlowthompson, just 4% of tenants have had to go onto a rental deferment plan in the third quarter of 2020.

Stephen Ludlow, Chairman at ludlowthompson says: “Residential property has proven to be a reliable source of income for buy to let investors, particularly compared to other asset classes such as equities, which have seen high levels of volatility in 2020.”

“We are observing the same level of resilience as we did following the 2008 financial crisis. London residential property continues to be in high demand due in part to low mortgage rates and the Stamp Duty holiday.”

“In order to attract prospective tenants, landlords should ensure that space in their properties is optimised. Home offices or space for workstations have become a highly sought-after feature, as has accessibility to high speed WiFi.”

Ludlowthompson’s agents are continuing to offer prospective renters and buyers guided video tours of properties. In person viewing appointments complying with social distancing policies are available following virtual viewings.

This week’s video tour is a one-bedroom period conversion in Ford Square.

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We received 1,179 5-star Google reviews in 2019

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Every single questionnaire read by Stephen Ludlow and David Thompson

Philippa F via Google reviews:

“We have been clients of Ludlowthompson for over eight years. Their advice is spot on, their follow up professional and their service to us as landlords has made long distance lettings much easier than I thought possible. I would especially recommend the manager and his team who have consistently gone the extra mile for us.”

Krisi D via Google reviews:

“Genuinely outstanding estate agents - who were passionate, and keen to provide me superb tenants, at an excellent price.”