An analyst has expressed his concerns that a growing number of landlords are struggling as a result of the credit crunch.

Nick Poyntz-Wright, chief executive of savings and investment provider Skandia, said the amount pressure of indebted landlords is increasing.

Therefore, he believes the prospects for many could be less than pleasant, as they struggle with difficulties obtaining finance and unaffordable mortgage repayments.

Speaking to the Financial Times, he warned that tightening lending criteria and falling property values could lead to some people choosing to invest their money elsewhere.

"Iinvestors are increasingly likely to question the suitability of residential property as an asset class,"he commented.

Mr Poyntz-Wright added that in these "unprecedented times", investors are looking for options which allow them to preserve their wealth.

This comes after the Council of Mortgage Lenders revealed that by the end of September 2008, more than 1.5 per cent of buy-to-let loans were in arrears.


Related posts:

  1. Credit Crunch Causing Landlords To Hold Back On Insurance
  2. More landlords ‘struggling to pay mortgage’
  3. Landlords take advantage of house price slump
  4. Struggling first-time buyers ‘supporting buy-to-let sector’
  5. Investors turn to property

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