Landlords seeing much better yields in the UK
British landlords are now experiencing better yields on their
buy-to-let properties as the demand for homes in this sector
Recently, LSL Property Services reported that the cost of renting a
house now sits at an average of £741 per month, the highest
that it has ever been.
Paragon Mortgages has revealed that the yield brought in by
landlords in quarter three of 2012 rose to 6.7 per cent compared to
6.2 per cent in quarter two.
Those operating in the east of England have seen the best figures
for their rental houses, with yields of 7.5 per cent performing far
better than London where they sat at 7.1 per cent.
John Heron, managing director of Paragon Mortgages, said: "The
average yield landlords have generated in Q3 is very good, and
remains around the level we have seen for the past 12 months.
"Landlords will also be carefully considering the potential for
house price appreciation and the outlook for tenant demand and rent