MP's have said that the level of buy-to-let investment is 'distorting the housing market in some areas and is jeopardising the Government's plans to provide more affordable housing'.
A report from the Office of the Deputy Prime Minister has criticised the amount of buy-to-let properties in many towns and cities, for excluding local people from owning their own properties. They have also attacked equity release schemes for offering poor terms, and suggested that the Government should work with providers to develop more appropriate schemes to allow older people to release capital.
Our view
This is supply and demand economics, if the market has moved to 'buy to let' then it is natural market forces that have been created by this Government.
We are sure they will be very happy when people sell these properties with up to 40% tax to pay on any capital gains as well as the tax on rental income received. Even the Prime Minister bought a second property for his son to live in whilst studying.