FTBs winners as landlords sell up

FTBs (First Time Buyers) have been snapping up properties from landlords who've sold property in the last two years, according to new research from Alliance & Leicester Mortgages.

Despite ongoing concerns that the increase in buying-to-let is pushing FTBs out of the market, A&L's research highlights that 42% bought landlord-owned properties while 29% were sold to existing or new landlords.

Overall, 10% of landlords sold a letting property in the last two years. Of the landlords who did sell, the average ownership tenure was 3.5 years with 27% of them making a return of more than 30% on their investment. Only 2% reported a loss.

Jeremy Claridge of A&L said: "The research paints an optimistic view of the buy-to-let market with all but 2% of landlords, reporting they've achieved capital growth on their properties when sold in the last two years.

"While this upbeat picture might be true of times now, recent figures have shown that house prices are slowing so landlords would do well to ensure they plan carefully for all eventualities."

08 May 2007 © Moneyextra.com

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