Central London buy-to-let market 'not pricing out FTBs'

24 July 2007
First-time buyers are not necessarily being priced out of the market by buy-to-let investors, according to a spokesperson from the National Landlords Association (NLA).

Simon Gordon explained that first-time buyers are not necessarily competing with professional landlords to buy the same properties.

"There is no automatic link between being a property that a first-time buyer will be able to afford and a buy-to-let property," he commented.

Mr Gordon went on to say that this is particularly the case in central London, where expensive apartments are being bought by buy-to-let investors, while first-time buyers would not necessarily be interested in this type of property.

Last week, the Halifax House Price Index showed that average properties in Greater London now cost more than £300,000.

Commenting on the data, Linden London Developments director Steve Lavers said the capital's property prices are still "booming", despite a slowdown in the rest of the housing market.

He also suggested it is not first-time buyers hoping to snap up prime central London properties.

"Demand from international buyers at the top end of the market, in addition to the 'City bonus' investors has remained strong," Mr Lavers commented.

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