The rental property market has started to see more and more ‘accidental landlords’ joining in recent months.
According to the price comparison internet site, moneysupermarket.com, there are many who have chosen to rent out their homes before waiting to see if the housing market recovers. This has provided them with a hope that they will be able to sell for a higher price sometime in the future.
Recent research from a number of industry bodies, including the Association of Residential Letting Agents, also found a similar situation.
Another reason why many newcomers have joined the rental market is that landlords are trying to find new ways of making money in these difficult economic times.
The latest unemployment figures have shown that it currently exceeds 2 million, and this is only expected to rise this year. This is why renting property is seen as a good way of boosting income in this climate.
The head of home and motor insurance at moneysupermarket.com, Steve Sweeny, stated that letting out property could seem like an attractive way to make money in the current circumstance. However, Sweeny urges those looking to become a landlord to proceed with extreme caution as there is a lot to learn.