Stamp duty rises have failed to deter landlords from investing in buy-to-let properties, according to new figures released by HMRC.

Despite extra stamp duty buy-to-let investors still busy

The number of second homes affected by stamp duty increased in the final quarter of last year to 62,800, when compared with the previous two quarters of the year.

The figures highlight the fact that people are still investing in buy-to-let property, attracted by the prospect of capital appreciation, high rental yields and low void periods, especially in areas where demand for rental property is high.

Many changes affecting the buy-to-let sector have been introduced in recent years, including loss of access to buy-to-let tax relief for some landlords, a measure which will be phased in from April this year.

The introduction of these measures has led some in the industry to warn that extra costs could simply be passed on to tenants.

However, demand for rental property remains strong, especially in parts of the capital which are benefiting from regeneration schemes and transport improvements, such as Crossrail.

With many would-be first-time buyers priced out of the market, some are choosing to rent in the long-term, further driving demand for rental property.

For more information on this story, click the link below:

Landlord Today

 

 

 

About the author

Nicolas Holmes

Nick joined Robert Holmes to inject fresh ideas and help grow the New Homes department of Robert Holmes as well as helping to inject technology into the business and to grow its client base. Together with one of the Directors Nick is in charge of all Development opportunities that Robert Holmes deals with along with sales. Aged 40, he provides succession together with the two existing directors. Nick has always been focused on building client relationships and sales. He built up his own gallery in Chelsea, where he had a loyal following of customers and artists.

Related articles