Buy-to-leave and buy-to-let markets are complex and their impacts wide ranging. There is a general lack of imperial data in this area and this piece of research looks to explore the issues which surround these markets. The need to gather information and evidence on the buy-to-let and buy-to-leave housing markets has been highlighted by our members over the last six to twelve months. It has been recognised that despite the press coverage of this phenomena a full understanding of the sector is lacking.

This research is to be seen as a ‘can-opener’ through the in-depth case studies of five local authority areas within the North of England. These case-study areas cover a variety of locations ranging from those that have experienced high-levels of apartment developments, to regeneration areas, to areas with high and increasing student populations, as well as rural locations.

These case study areas were investigated in detail using information on their general housing markets as well as any changes in the buy to let and buy to leave markets. This included gathering information from council officers who are involved in housing strategy, through in-depth semi-structured face-to-face interviews. In addition, telephone interviews were conducted with estate agents, local landlords and private lettings agents to gain their views on the issue. Secondary data analysis was undertaken, along with a review of literature on the area, including related strategies and policies.

The case studies have highlighted the various challenges and benefits of buy to leave and buy to let across our northern towns and cities. The research has shown that the increase in properties being bought to let can have positive effects, such as: providing much needed private rented accommodation, creating balance in local housing markets and contributing towards mixed, sustainable communities.

However, there is cause for concern in some areas where the rise in buying to let, and in particular speculative buying, has created negative effects for local communities and housing markets. An oversupply of private rented accommodation can cause dysfunction in the housing market, properties bought as an investment and left empty can become magnets for crime and anti-social behaviour as well as causing further problems in terms of housing supply.

Northern Housing Consortium
Charlotte Howse (Director of Policy and Practice), tel. +44 191 5661000

01/12/2007

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Jennifer Stevenson, Natalie Hodgson, Anna Milner

research

Urban Policy

Housing