One third of investors in the Buy To Let market expect to turn a profit in just five to ten years, according to research from Birmingham Midshires.
Birmingham Midshires asked Buy To Let landlords to predict when they will start to see a return on their investment, and found that 15% expect a profit within the first year, while five per cent believe it will take them more than 25 years.
Despite their short-term profit forecast, landlords are still taking a long-term approach to their investment, with more than half believing they will be in the market for at least another 15 years, only seven per cent intending to leave the market in the next three years and 16% thinking they will still be landlords for the next 25 years.
Tim Hague, managing director of Birmingham Midshires, commented that the figures indicate an intention of buying to let in preparation for retirement, and while they look to make a quick profit, they plan to stay in the business for the long haul.
“Today’s landlords are set to stay for years to come,” he said, “with those entering the market thinking about their retirement and planning into the future. This long-term approach shows the confidence in the market, which is great news for brokers.”
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