Landlords based in the midlands were recorded as the most likely to increase their portfolio size, a study conducted by BVA BDRC shows.
The research outlines that 24% of landlords in the East Midlands and 22% in the West Midlands plan to purchase more properties in the next 12-months.
Meanwhile, 8% of landlords in South West and 9% in Central London intend to purchase more properties within the same timeframe.
The data shows that overall, only 14% of landlords intend to purchase property, with the average preparing to buy three.
Looking at property type, 52% of those looking to expand their portfolio intend to do so by purchasing a terraced house.
This was followed by semi-detached properties at 32% and flats at 26%.
Furthermore one in four landlords are targeting HMOs, according to the research.
Nearly two thirds, 63% of landlords plan to fund their next purchase with a buy-to-let mortgage, while 17% intend to do so through releasing equity on existing properties, and 18% said they would purchase a property outright.
Richard Rowntree, managing director of mortgages of Paragon, said: “The proportion of landlords looking to purchase new property has been largely consistent over the past two years, but we are seeing regional variations and also a greater propensity for portfolio landlords to invest in property.
“Portfolio landlords have adopted a number of strategies to adapt to the tax and regulatory changes of recent years and we’re seeing trends such as these landlords buying stock from smaller-scale participants as they exit the market, or targeting higher yielding properties, such as HMOs.”
By Jake Carter
Source: Mortgage Introducer