A quarter of landlords would consider using a pensions lump sum to invest in property

The latest BM Solutions buy to let quarterly index shows 1 in 4 (26%) of landlords would consider using a lump sum from their pension to invest in property, with a further 24% undecided.

The quarterly BM Solutions / BDRC Continental Landlord Panel revealed that while 77% of landlords view their property portfolio as part of their pension provision, 38% are not planning to withdraw a lump sum from their pension to invest in property or don’t have enough in their pension to do so. This rises to 48% for landlords with larger portfolios (20+ properties).Phil Rickards, Head of BM Solutions, comments:

“We expected to see an immediate increase in interest in buy to let after the rule changes allowing access to pension lump sums, but did not believe there would be a stampede and this has proved to be the case. Buy to let is a serious investment of time and money and while good landlords can be very successful, we’re not seeing huge numbers of existing landlords shift their pension savings into property.”

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