Lacklustre house prices offer boost to landlords
Homeowners, including those with insurance for rented property will have mixed views on the current state of the housing market.
The rollercoaster movement of house prices appears to have stopped – replaced instead by almost stagnant prices.
House prices rose 0.3% in May, the latest figures from Nationwide have revealed.
On the three month on three month measure, prices were up by 0.6%.
Yet, despite these increases, the price of a typical home in May is 1.2% lower than one year ago.
Nationwide Chief Economist Robert Gardner said: “Overall, the modest pace of house price growth in May suggests that the property market is continuing to mirror the lacklustre trends evident in the wider economy.”
From a landlord’s perspective it perhaps shows there is virtually no heat in the housing market, with people happy to wait before they buy.
In many cases that means they will rent until the time is right for them to purchase.
And so, this should mean that the rental market continues to bring decent returns.
Homeowners who rent out their property should always get adequately protected.
Inquire now about a landlord insurance quote.