A new survey out yesterday polling buy-to-let customers indicates a continuing investor confidence in the buy-to-let market.

Birmingham Midshires / BM Solutions recently polled customers that have taken out buy-to-let mortgages in the last 12 months. 58% of respondents said they have more than one property and 76% are planning to buy more. The importance of intermediaries in the process is highlighted by the 17% increase in the use of brokers since last year’s survey.

The findings from BM Solutions' research are:

• The majority of investors consider buy-to-let as a long-term project - when they bought their first property, some 56% envisaged staying in the market at least 10 years. This is emphasised by the fact that some 88% of them are reasonably confident that the value of their buy-to-let property will rise over the next three years. Indeed, 39% of them are very confident of this.
• The incidence of portfolio building is increasing. 58% of respondents have more than one property and some 71% of these always intended to have more than one when they first entered the market. This compares with 63% in 2002.
• Some 76% of respondents intend to buy more properties.
• On the issue of finding tenants, 93% of respondents are reasonably confident that they will have tenants in their property for most of the next 12 months.
• As far as affordability is concerned, 82% of investors are quite confident or very confident that interest rates will stay low and keep their payments affordable.
• Of all the sources of help and advice when first buying a property to let, a broker is by far the most significant, with 58% of investors turning to them for assistance.
• Brokers are becoming more important in this regard since the number of investors who use them is up 17% from 41% in the 2002 survey.
• In terms of advice sought, the three most difficult areas identified by investors are finding the right property, getting good advice and information and working out the finance to buy the property. These three areas also topped the list in the 2001 and 2002 surveys.

Steve Sandiford, head of products, BM Solutions said:

"Against a background of some commentators talking down the buy-to-let market, it is illuminating to hear the opinions of the people who really matter - those who are actually investing. The majority of respondents in our survey - 58% - have more than one property, which speaks for itself in terms of their confidence.”

"Most investors see buy-to-let as a long-term commitment, and we feel that this is the single most important factor. Looking for quick profits is not the way to build a business. This is the key to adopting the correct approach to buy-to-let - treating it as a business.”

"The findings of this research will also be very encouraging for intermediaries. Respondents clearly identify their importance in the buy-to-let process and there is definitely scope for brokers to capitalise on the need for focussed advice which undoubtedly exists."