- Tentative good news for landlords on the regulatory front
- Mortgage rates are down and rents are up
- But it will take a lot to make up for the increase in interest rates
Making the case for buy-to-let remains hard in current conditions. Physical property is a tax-inefficient investment, regulations are getting tighter, renters face limits to how much they can afford and mortgages are still very expensive. Both existing buy-to-let landlords and those who are thinking of dipping their toes into the market need to do the maths carefully to make sure their investments add up.
Still, on a smaller scale, some pieces of good news have recently emerged. Rental growth has been strong, borrowing rates have started to ease and the regulatory backdrop is looking slightly less daunting than it did a year ago.