Over-supply dampens down residential investment market
During the last 18 months, Cambridge has seen a steady stream of new investors buying property under 'buy to let' schemes. However, we see signs that this market is now slowing considerably. There are a number of contributory factors. Low borrowing costs are encouraging would be tenants to buy property. Higher property prices are forcing landlords to push rents to unsustainable levels and a shortage of tenants is actually forcing rents down.
We would advise potential landlords to examine this market closely in the early months of 2000. Prudent property advice is going to be very important in this possibly over supplied market
