Earning of Buy to let investors: 10% a year

Buy-to-let investors in England and Wales have got the benefit of total returns of nearly 10% in the past year. Landlords’ gross rental yield rose to 5.2%, while the rising property prices took the Landlords’ average annual return to 9.4%. A daily report says that rent have gone up on all-time record of £816 a month in September which was £768 a month in the previous year.buy to let mortgage

Rents in London, the South-East, South-West, and East & West Midlands also have hit records. Wherein, the rents in London are rising up faster, up by 11.06% to a new record of £1,301 per month. On a collective basis the rents have risen by 10.3% since the start of the decade. Despite of rising rents, tenant finances have also improved.

Expert says: “Rents are rising up hastily due to the recent acceleration in wages and the longer term shortage of available properties across the UK. The cost of a place to live has now uncoupled from the cost of living. As long as the demand imbalance keeps up, it is difficult to see any set back in speed of rise in rent.”

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