Nine out of ten investment landlords are marking time, neither selling nor buying residential rental property, even though asset values and rental yields have fallen, according to the fourth quarter ARLA Members Survey of the Private Rented Sector. This is the largest independent survey of the rental market.
However, capital values of rental properties appear to be showing signs of stability. Away from prime Central London, where falls of 4.3% for houses and 12.8% for flats have reversed the increases seen in August, the South East saw falls of 4.9% for houses and 5.9% for flats.
By contrast, outside London and the South East, values for rental houses actually rose by 1.5%. For flats, the capital values fell by 3.8% over the three-month period.
With the Government's bank bail-out yet to affect any real change in credit availability - to even the most credit-worthy - Borro.com said it was doubling its loan book every month.
