View more on these topics

Rentals falling as prices rise for BTL buyers

Paragon Mortgages monthly buy-to-let index says house prices continue to rise in line with renewed activity in the market but rental incomes are falling.

The index shows a 1.43 per cent rise in landlord property values in July following a 5.54 per cent increase in June. The average property now costs landlords £119,587 compared with £117,902 in June and is over £10,000 or 9.3 per cent more than three months ago when the average was £109,393.

But rental incomes fell by 0.85 per cent after a 2.79 per cent rise in June, with average yields achieved by landlords falling to 7.57 per cent from 7.75 per cent in May.

The North is still seeing significantly higher yields than the South at 10.36 per cent compared to 6.56 per cent in Greater London.

In terms of overall combined yield and increase in price, the East Midlands saw the highest gross returns of 56.66 per cent followed by Wales at 46.59 per cent and the West Midlands at 43.85 per cent.

Managing director John Heron says: “Although rental incomes achieved by buy-to-let landlords slipped slightly this month, they remain rather higher than they were for most of the first half of 2003 and tenant demand is still very strong. Landlords are responding to this demand by building their portfolios but, of course, they are in competition with owner-occupiers who are coming back into the market and helping to push prices up again.”


Rising confidence in the housing market grinds to a halt

Confidence in the housing marketing has come to a halt after three months of steady increases, according to Barclays mortgage arm The Woolwich.It&#39s consumer confidence balance shows that month on month confidence is flat, dropping only one percentage point to 55 per cent since June.The Woolwich believes the increase in confidence was due to a […]

Product matters

The bulk buyout market is attracting the attention of most big players in the pensions market and, fuelled by Opra&#39s assessment that there are up to 30,000 occupational schemes currently in wind-up, Clerical Medical is no exception. Arguably, there are three keys to success in this market which are: charges, fund links and the ability […]

Group 300 seeks £10m to buy network

Cambridge-based IFA network and support services provider Group 300 is looking to raise £10m from private investors to buy a medium-sized network within the next six months. The group, formerly Advice Store, launched in January last year, is in negotiations with a commercial financier to secure the £10m from private equity investors. It is aiming […]

Changing attitudes

Some years ago, I went to my local MFI furniture store and bought louvre doors to complete a set of built-in wardrobes. Quite apart from the difficulty in transporting them on a roof rack, the real test was fitting them. A seemingly simple task proved close to an impossibility. Several weekends ago, I spotted an […]

Health - thumbnail

Healthcare predictions for 2015 from Jelf Employee Benefits

The continuing fall-out from the Competition and Markets Authority’s (CMA’s) review, the rise of the private GP and digital engagement will be the primary focuses in the private healthcare industry during 2015, according to Iain Laws, managing director, healthcare and group risk, at Jelf Employee Benefits.


News and expert analysis straight to your inbox

Sign up


    Leave a comment


    Why register with Money Marketing ?

    Providing trusted insight for professional advisers.  Since 1985 Money Marketing has helped promote and analyse the financial adviser community in the UK and continues to be the trusted industry brand for independent insight and advice.

    News & analysis delivered directly to your inbox
    Register today to receive our range of news alerts including daily and weekly briefings

    Money Marketing Events
    Be the first to hear about our industry leading conferences, awards, roundtables and more.

    Research and insight
    Take part in and see the results of Money Marketing's flagship investigations into industry trends.

    Have your say
    Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

    Register now

    Having problems?

    Contact us on +44 (0)20 7292 3712

    Lines are open Monday to Friday 9:00am -5.00pm