Big rise in overseas-based BTL landlords
There has been a sharp rise in the number of overseas-based buy to let landlords, figures reveal.
The findings from Hamptons International highlight that the proportion of homes being let by a landlord based abroad has risen from 7% last year to 11% in the first 10 months of this year.
The increase has been fuelled by landlords investing in areas in the south, along with the East of England and London.
Of all the areas looked at, the city with the highest proportion of overseas-based landlords renting out a home are found in London at 18%. In the first 10 months of last year, the figure was 10%.
The region with the lowest proportion of homes being let by a landlord abroad is Wales.
'Homes being let by landlords based overseas rose'
The firm's head of research, Aneisha Beveridge, said: "For the first time in more than nine years, the proportion of homes being let by landlords based overseas rose.
"The biggest increases were recorded in the East of England and London."
She says that the depreciation of sterling could help explain why growing numbers of landlords based overseas are investing in buy to let property.
For investors in some countries, it is now cheaper to buy property here than it was five years ago.
Also, the depreciation of the pound is so great that it pays for the extra 3% stamp duty on second home purchases.
For example, for those investors buying with US dollars, the average home is now costing 23% less, or £53,065, than it did in 2014.
Ms Beveridge added: "The pound's depreciation is making property investment more attractive to international investors with rental growth in the South outstripping the rental growth for the North."
Call for short-term lets to be regulated
Meanwhile, one organisation is calling for short-term lets to be regulated in a bid to benefit the sector.
Payment provider PayProp says that in London, there were more than 77,000 short lets listed on the platform while in Edinburgh, the figure is more than 10,000.
The firm's chief executive, Neal Cobbold, said: "The market's fast growth shows there is an appetite for this type of accommodation and short lets could benefit from regulation to be sustainable.
"There is no mandatory regulation currently of short lets which is a concern considering that landlords have to comply with 156 different regulations when letting a property over the long-term."