The UK property market has seen a significant shift in recent months, with many buy-to-let (BTL) investors fleeing the market due to the coronavirus pandemic. According to a recent report from HouseMy Auction House, over a third of property lots sold in the last quarter were from BTL investors.
The report found that the number of BTL investors selling their properties has increased significantly since the start of the pandemic. This is largely due to the fact that many BTL investors have been hit hard by the economic downturn, with rental income falling and mortgage repayments still needing to be made. As a result, many BTL investors have decided to cut their losses and sell their properties.
The report also found that the majority of BTL investors selling their properties were doing so at a loss. This suggests that the current market conditions are not favourable for BTL investors, and they are choosing to exit the market rather than risk further losses.
The report also highlighted that the number of first-time buyers entering the market has increased significantly in recent months. This is likely due to the fact that many first-time buyers are taking advantage of the current low interest rates, as well as government schemes such as Help to Buy and Stamp Duty relief.
Overall, it appears that the UK property market is undergoing a significant shift, with many BTL investors exiting the market and first-time buyers entering. This could have a significant impact on the market in the coming months, with prices likely to be affected by the influx of new buyers. It remains to be seen how this will affect the market in the long-term, but it is clear that the current situation is having an impact on the property market.