Allow Landlords to evict tenants where there are 14 days rent arrears14:34 PM, 1st October 2020
About 3 weeks ago 97
Buy to let landlords have experienced total annual returns of 12.2% over the past year assisted by the increase of purchases prior to the stamp duty deadline on April 1st.
Average rents across England and Wales now stand at £791 a month, following a 3% increase over the year.
The Midlands experienced the fastest rent rises, with West Midlands rents reaching £597 per month and £613 in the East Midlands.
The increase in stamp duty by the Government has led to an unexpected financial bonus for some landlords, according to the latest Buy-to-Let Index from Your Move and Reeds Rains.
On the other hand, a small number of tenants are still feeling the repercussions of higher rents with 9.1% of rent in arrears, up from 8.8% last month.
This year’s total annual growth is the fastest annual rate of return for existing landlords since November 2014.
This means that the average landlord in England and Wales has seen a return of £22,135 over the year to March, before deductions such as property maintenance and mortgage payments.
The average capital gain contributed in absolute terms £13,494 while rental income made up £8,641.
“There was a great deal of uncertainty among landlords in the private rented sector when the changes to stamp duty and tax were announced late last year, however many are now experiencing unexpected growth which is a positive sign,” said a spokesperson for Property 118’s landlord insurance provider Discount Insurance.
“When the changes were announced, the focus was on aspiring landlords who wanted to invest in the buy to let sector and although this may still be difficult for some, existing landlords are benefitting,” added the spokesperson.
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