13
Dec
Fall in owner-occupier rate shows popularity of buy to let homes
The drop in the owner-occupier rate has shown the increase in
popularity of people in the UK choosing to rent buy
to let properties.
According to the Royal Institution of Chartered Surveyors (Rics),
there has been a decline in the number of people in Britain who own
the home they live in from 71 per cent in 2003 to 68 per cent in
2010.
Himanshu Wani, economist at Rics, suggested that this fall of three
percentage points from the property market peak seven years ago is
likely to boost the demand for buy
to let homes.
"With first-time buyers struggling to take an initial tentative
step on housing ladder partly because of lenders' demands for
larger deposits, more potential purchasers are likely to choose the
rental option," he stated.
The housing expert added that tenant demand is set to continue to
rise, as people delay buying properties for sale in the UK until
they are "in a stronger financial position".
Earlier this month, Rics' Residential Lettings Survey revealed that
33 per cent more surveyors had seen a rise in demand for buy
to let properties rather than a fall over the three months
leading to the end of October 2010.