Letting property 'no longer the road to riches'

Posted: 31 Mar 2010 09:42:03 GMT

Investors who have jumped onto the property bandwagon in the hope of making a fast profit are quickly realising that the industry is perhaps not as lucrative as it once was, one expert has suggested.

Tom Entwistle, director at LandlordZone.com, says many new and reluctant buy-to-let landlords have now withdrawn from the market altogether.

"They are realising that letting is no longer the trouble-free road to riches they imagined," he states.

However, Mr Entwistle adds that he believes this will have a positive impact on long-term landlords, with rents set to remain firm as the buy-to-let property stock reduces.

His comments come in response to new data from FindaProperty.com, which reveals asking rents increased by 0.7 per cent in March.

Despite this, average monthly rental values are still £7 lower than they were at this time last year, standing at £820 per month in comparison to £827 in March 2009.

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