A third of UK adults want to own a buy-to-let (BTL) property in future, according to new research from Market Financial Solutions, challenging recent claims that the sector is losing its appeal.
The lender commissioned Opinium to survey 2,000 UK adults. The results showed that 33% aspire to become BTL landlords. Interest in buy-to-let was markedly higher among 18- to 34-year-olds, with 54% expressing a desire to own such property, compared to just 14% of those aged 55 and above.
Overall, 60% of respondents said they believe property investment is a reliable way to build long-term wealth. Over a third (37%) said they would prefer to invest in buy-to-let than in stocks and shares, while 53% agreed that real estate is a “safe and stable asset to invest in”.
The research also found that 58% of UK adults would choose to invest some or all of a hypothetical £1m lottery win in property. Among younger respondents, this rose to 68%. However, 57% of 18- to 34-year-olds said they resent how much more difficult it is to invest in buy-to-let than it was for previous generations, citing rising house prices as a major barrier.
Paresh Raja, chief executive of Market Financial Solutions, said: “It has become popular over the past decade to bash buy-to-let investing as being increasingly unappealing. Clearly, however, that is far from the case.
“The rise in house prices and borrowing costs, coupled with tighter rules and regulation in the rental market, has undoubtedly caused challenges for both current and prospective landlords. I am sure this will have given some people reason to question whether BTL ownership is the right route for them, but these survey results underline the love affair that the UK has with bricks and mortar.
“Many people aspire to homeownership and property investment. The stability of the market, along with the opportunity for the value of the asset to rise in the longer-term alongside a rental income, all contribute to this. Indeed, if BTL mortgage rates do come down in the coming months as expected, we may well see more first-time landlords entering the market.”
