The rate at which landlords are looking to grow their property portfolios is now growing more quickly than at any time this year, according to a survey.
Mortgages for Business say that 65% of landlords in the UK are now looking to buy at least one more rental property in the next six months.
That's an increase from 55% who admitted to looking for properties six months ago.
The survey also reveals that 27% of landlords are not looking to reduce or grow their portfolio while 8% of landlords say they are looking to sell their properties.
The managing director of Mortgages for Business, David Whittaker, said: “Landlords are more confident about investing and are better capitalise.
The UK’s rental market is strong
“The rental market is strong and being driven by tenants who are making the most of job opportunities and they are also earning more.”
He added: “There's a new demand surge which is putting upward pressure on rents and landlords are just beginning to supply more rental homes.”
Mr Whitaker pointed out that the result of the general election is also a boost for landlords in the short term since there will be some stability and no threat of damaging regulation.
He said too that there was likely to be a boost in house price growth which will also benefit landlords with rental properties.
This increasing confidence is also seeing a larger proportion of landlords preferring a variable rate mortgage deal when buying a new buy to let property. The figure is up from 23% in November last year to 26% currently.
The survey has also revealed that the average loan to value for landlords has also fallen in the last six months, it's down from 57% to 54%.
Election fears led to landlords selling up
Meanwhile, according to the Association of Residential Letting Agents (ARLA) the number of landlords with buy to let properties were spooked by the potential election result in April to put more of their properties on the market.
ARLA says the figure grew by 33% in April as landlords feared a Labour victory and a slew of what were seen as anti-landlord measures, such as the imposition of rent controls.
The organisation says that these landlords voted with their feet to leave the private rental sector and if they follow through with their moves to sell their properties then this will increase the shortage of accommodation.
London was hardest hit by this move, though following the election result, ARLA says most of its members are happy with the outcome.
Ever since the autumn statement in 2016, the potential impact of the tenant
fee ban has received widespread coverage. While many tenants were positive
about the changes it did present the prospect of a major change for the