Research from the National Landlords Association indicates that only a small number of landlords are unduly worried about the effect the Government’s Help to Buy Scheme will have on the rental sector.
The findings revealed that only 21% of landlords said they were concerned about the introduction of Help to Buy on the rental industry. Just 15% said that they were concerned about the scheme having a detrimental effect on their individual businesses.
In excess of 2,000 offers have been made using this new Government scheme, assisting approximately £365m worth of mortgages. However, these statistics have led to concern that demand for privately rented properties may be affected.
CEO of the National Landlords Association Richard Lambert, said it is still “too soon to predict whether Help to Buy will have any real impact on the level of demand for private rentals.” Postively, Mr Lambert feels that the Help to Buy scheme “doesn’t present a major concern for landlords at large.”
Lambert goes on: “Much of the debate around Help to Buy is currently centred on the whether the scheme will create another housing bubble. However, this conversation is itself driven by the much bigger issue at hand: the fact that there are simply not enough homes for people, regardless of whether they want to rent or buy.”
With insufficient housing to meet demands, Lambert professes that “the private-rented sector will play a vital role” and suggests that “renting for longer periods will become a normal part of our housing biographics.”