The demand for more data at the micro level to address the need for advanced insight into the buy to let investment sector is ever increasing. As such, as reported on Property Wire, the United Kingdom is looking into getting a new index specifically attuned to the buy to let market.
The new system being eyed is a the MIAC powered Landbay Rental Index. This is a peer to peer buy to let mortgage lender and would become available by the end of the month at the latest. It would monitor rental prices and market trends throughout the United Kingdom.
The purpose of the index is to guide current as well as future landlords seeking to invest in the buy to let market. Aside from this, the system can provide insight on other trends occurring within the private rental sector.
The Index would generate information and send out reports from the borough level to the regional level as to rental rates, facilities and analysis of up and coming trends in the market.
This is most especially needed in light of the buy to let boom recently reported on the Telegraph. There is resurgence in the market as buy-to-let mortgage numbers have been on the rise, outpacing first-time buyer mortgages. The ratio is for every single first-time mortgages, there are four buy-to-let mortgages.
Last July, banks as well as building societies have doled out about £1.6bn worth of loans to landlords who purchase properties. According to the Council of Mortgage Lenders, this is a 33 percent increase from the volume lent out in July 2014.
With newer units available for rent, the supply would increase resulting in a decrease in prices in the long run. And with the index online, the buy-to-let mortgagors would be able to make smart choices in their investments in the UK property market.
