Times Online: Property is not overpriced

Nigel Terrington, chief executive of Paragon Group, Britain’s largest buy-to-let lender, on housing

“The UK market is undergoing a significant structural change. There is a material increase in tenant demand now and into the future, which is driving demand for buy-to-let landlords. On the demand side, there is a rising population, particularly in population groups likely to rent. Buyers increasingly use property as a pension. There is a fundamental shortage of housing that will not be addressed quickly. Interest rates are higher but they are more likely to act as a greater constraint on first-time buyers. Any weakness in house prices will be seen as a buying opportunity for landlords . . . The redemption rate [for our borrowers] has been slowing as landlords are keeping their properties