Press Release: April 15, 2010
The appetite for regulation appears to be very strong and interestingly, 68% of landlords say theyre ready to be regulated themselves.
Almost all landlords polled (93%) believe that estate agents and letting agents should be regulated, with 86% believing that regulation should extend to individual agents themselves, not just the businesses that they work for.
Neil Young, CEO of Young Group and estate agency Young London, comments; I find it criminal that a sector responsible for the largest purchase that most of us will make in our lifetime is unregulated. Even more worryingly, lettings agencies are not subject to regulatory legislation either. Unlike estate agencies, letting agencies routinely receive - and hold - clients money directly and are also involved in drafting legally binding contracts Both of these elements are handled by solicitors during purchase transactions, not by estate agents.
Robust regulation and methods of redress that have the teeth to make an impact are long overdue in the residential property sector; a sector which, despite the exemplary efforts of many professional and reputable agencies, is marred by the actions of a significant minority of rogue agents.
Young Index: Headline Results for Q1 2010
100% of landlords intend to hold their residential property investments for the next 12 months.
47% intend to hold their assets for at least 10 years.
24% of landlords intend to retain their property investments for the next 20 years or more.
The average period that residential property investors expect to hold their property investment assets is 12 years.
49% of investors are considering purchasing additional residential property assets within London over the next 12 months.
22% of investors are looking at opportunities in the UK outside of the capital.
78% of respondents believe that London prices will be at current levels or higher by this time next year.
For UK property outside of the capital, 49% expect prices to be at current levels or higher by this time next year.
Landlords expect to see an average price increase of 1.48% by this time next year, twice the increase they were expecting last quarter (0.7%).
The predicted 12 month outlook for UK property prices outside the capital is a fall of 0.58%, compared to the drop of 1.0% predicted last quarter.
94% of respondents expect the Bank of England base rate to be higher than the current all time low of 0.5% by the beginning of 2011.
The average base rate expectation for Q1 2011 stands at 1.25%, up from the 1.1% predicted for Q4 2010 in last quarters Index.
93% of landlords believe that Estate Agencies should be regulated.
86% of landlords believe that individual estate agents should be subject to regulation.
68% of landlords believe that they themselves should be regulated.
84% of respondents believe that that a Conservative government would bring the greatest benefit to residential landlords.
13% of landlords expect a Labour government to create the right conditions for the private rented sector to flourish.
3% believe that the Liberal Democrats would be good news for landlords.