The Royal Institute of Chartered Surveyors (Rics) has reported lower requests for instructions to let property, over the autumn period.
Increased interest rates are said to be the main reason for this dip, as there is less money to be made in the buy-to-let market. This is supported by the residential lettings survey that finds investors behaved more cautiously between August and October overall, but particularly in letting flats.
Rics spokesperson Jeremy Leaf commented, "The recent interest rate increases have painted the buy-to-let market as a less than favourable investment."
According to Rics, rents did not rise quite as fast as house prices, resulting in the first decline in gross yields for the buy-to-let landlord in two years.