As I have discussed on here previously, due to low interest rates and increasing numbers of tenants looking for long term lets as opposed to buying their own homes, there has never been a better time to think about dipping a toe in the buy to let market, but what about those of you who already have a portfolio of buy to let properties?
According to a recent survey published by Townends estate agents, a lot of landlords are taking a good hard look at their investment portfolios and realigning them based on current performance levels. This can occur for several reasons—perhaps you have decided to get rid of your larger properties in favour of student style accommodation, or perhaps an area previously targeted is not performing well. But whatever the reasons, Townends noted:
‘We are experiencing instances of landlords looking to off load properties and opting to do so by selling to other investors with their existing tenant in situ. Whilst this may seem counterintuitive at first glance, savvy landlords are actually using the current climate to adjust and restructure their portfolios, and often selling to another investor can be the quickest and most cost effective way to do so.”
It doesn’t take an expert to see that this decision makes sound business sense. As the Townends survey quite rightly points out, potential investors will see that the property has proven yield, and you, the landlord, can continue earning rent until your property is sold on to a new landlord!
