The number of “silver landlords” could rise significantly following the changes in pension regulation, according to Louise Kean, residential lettings partner at CPBigwood.

 

That is because from April, people approaching retirement and pensioners will be able to access as much or as little as they want from their pension pots.

 

Ms Kean was commenting on new analysis by Direct Line for Business, the small business insurer, revealing that a third (32 per cent) of people aged 45-64 with a pension would consider using some or all to fund the purchase of a buy-to-let property as an alternative to a traditional annuity.

 

She said: “Buy-to-let is long established in the Worcestershire and Warwickshire area and has rebounded strongly since the financial crisis.

 

“Interest rates are very low – attractive when it comes to investing in property as against negligible returns from Isas and the like.

 

“The DLfB research is in line with our own expectations that the Government’s pension reforms are likely to provide even further impetus for buy-to-let. I believe 2015 could be a very significant year for the sector. Property can produce excellent returns while also offering capital appreciation.”

 

The survey found that income (43 per cent), investment security (23 per cent) and capital appreciation (17 per cent) were the most frequent reasons for investing.

 

Anticipated returns averaged between ten per cent and 14 per cent.

 

Ms Kean stressed: “We provide a full service for buy-to-let landlords in terms of finding suitable tenants, checking on maintenance requirements and ensuring rental payments.

 

“Significant responsibilities do come with buy-to-let so the management side is best left to experts.”