Buy to let landlords profit peaks over 12% year on year

Buy to let landlords’ have benefited total annual returns of 12.2% over the last year, due to the flood of purchases in the rush to the stamp duty deadline. Average rents across England and Wales also rose 3% over the last year, to set at £791 a month. Rent arrears are 9.1% which is also up from 8.8% last month. The average landlord in England and Wales has seen a return more than £22,100 over the year to March, before maintenance and payment deductions.

Adrian Gill, director of lettings agents Your Move and Reeds Rains, says: “New tax changes planned to benefit owner occupiers are now making it more expensive to become a landlord, for the time being. This has driven an extra block between those landlords planning to invest in additional homes to let and those existing landlords who have already built up their portfolios but, this difference will not last for long. However, by making it more expensive to invest in property, it will slow down the healthy growth of the private rented sector.”

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