Students continue to buy

Students are continuing to invest in properties in their university towns despite warnings of a cooling market.

Figures from Abbey show that 88,000 UK students already own their own place, while 154,000 are seriously considering making an investment.

The first-time buyers (FTBs) would most-likely get a buy-to-let mortgage and allow friends to live with them and pay rent.

"Britain's student population continues to be a source of income for buy-to-let property investors, many of whom are parents of the students or the students themselves," said head of mortgages at Abbey, Nici Audhlam Gardiner.

"The key issue with any mortgage, but a buy-to-let one in particular, is affordability.

"People considering it need to make sure that they can afford the mortgage payments plus any maintenance costs, service charges and down-time between tenancies that they will also need to cover," she added.

It was recently revealed by the Association of Residential Lettings Agents that UK landlords are currently charging record rents due to soaring demand for rented accommodation.

Related Articles