Rising immigration is increasing demand for rental property, with new arrivals in the UK looking to rent property at first rather than buying outright, according to Mortgage Trust.
This has in turn added strength to the buy to let mortgage sector of the property economy, the buy to let lender says.
Nicola Severn, marketing manager for Mortgage Trust, remarked: "Migration to the UK is increasing steadily and is likely to become an important element in the rental demand mix."
She went on: "The majority of non-British tenants tend to be migrant workers rather than students and typically represent a stable, long term customer base for landlords."
While there is a certain degree of volatility to an immigrant rental market, there is still scope for long-term rent contracts to migrant workers.
"One in three plan to stay for between one and three years, while 15 per cent intend to stay 'indefinitely' or 'permanently'," declared Ms Severn.
The strength of the property market in recent years has led to a rise in the uptake of buy to let mortgages and further news of its continuing growth will please investors.To read more about buy to let mortgages, click here.
© Adfero Ltd