Landlords are continuing to buy properties for buy-to-let purposes and consequently Paragon Mortgages has reported a rise in the average size of investors portfolios for the third consecutive quarter.

The typical landlord replying to the Buy-to-Let Trends survey currently owns 13 properties, up from 11 properties last May.

John Heron, managing director of Paragon Mortgages, says: "The reticence of many potential owner occupiers to commit in the current market feeds through into stronger demand for rented accommodation."

"At the same time, in this quieter market environment, landlords have been able to negotiate particularly good deals on properties they are interested in purchasing as buy-to-let investments. The combination of these two factors means weve seen buoyant purchasing activity from them. It must be remembered that investors are dispassionate purchasers and will tend to negotiate hard on price. With this buying activity, the average size of landlords portfolios has grown by 15% in just 9 months."