A lack of available funding for those looking to make their first step onto the property ladder in the UK could be seeing landlord insurance customers receiving more demand in coming months as it remains tough to purchase a home.
Although as many as 61 per cent of people who have already purchased their own first home said that they were finding it difficult to move, one of the most common reasons for this was the fact that there was a severe lack of first timers to buy their homes, with 25 per cent stating that this was the case.
People looking to make their first step onto the ladder are struggling to find finance to do so in the early part of the year, with a report released last week (March 8th) by e.surv stating that the number of mortgages that had been approved in February saw a fall of 11 per cent in February to drop to a seven-month low.
Richard Sexton, business development director of e.surv chartered surveyors, said that this could largely be blamed on the fact that there has been a fall in confidence for lenders, but also blamed a falling sentiment from buyers, with many looking to overcome the debts and loans they may have accrued over the festive period before they think about buying.
What it means for landlords though is that there will be a far greater number of people looking toward the rental market once more, helping to boost their income in the months ahead.
This will be welcome news, coming after a report from Chesterton Humberts last week (March 8th) that suggested the balance of power in the private rented sector was starting to move towards tenants.
It had said that the fact rental prices were starting to decline in London - traditionally the strongest area of the British market - showed that the level of supply was outstripping demand, and may soon mean a change of tact for landlords.