Insurance News Archive

Buy-to-let insurance holders 'may see improvement in 2010'

Posted by Michael Brown

Landlord buy-to-let insurance holders could see an increase in business during 2010, it has been claimed.

According to Lucian Cook, director of residential research at real estate service provider Savills, a lack of access to the housing market for first-time buyers may see demand for rented property continue to rise.

He said that they are likely to be among the last people able to buy property.

"The consequence of that is that will put more pressure on the private rented sector and could result in some short-term rental increases at that end of the market," added Mr Cook.

He went on to say that residential transactions and mortgage approvals have shown little improvement over the last four months.

The Rightmove house price index, published earlier this month, showed that asking prices for properties fell by 2.2 per cent in December 2009 to an average of £221,463. This is an increase of 1.7 per cent compared to 2008.

24 Dec 2009