1. Independent Mortgage Broker
Due to the high demand for rental accommodation,
2012 saw a rise in Buy To Let lending with a rise of
advances from £13.8 billion in 2011 to £16.4 billion.
There were 136,900 loans given to landlords last year
as many buyers remained locked out of the housing
market due to the continuation of the strict lending
criteria placed upon those seeking residential
mortgages.
The Buy To Let sector accounted for 11.5% of mortgage lending last
year, and the number of Buy To Let mortgages increased month on
month.
As a whole of market mortgage broker we do a lot of Buy To Let lending
and these figures are consistent with what we are seeing as a business
and demand for Buy To Let mortgages is on the increase, investors are
buying, investors are re-mortgaging and rates are reducing.
The Rise Of Buy To Let

2. Independent Mortgage Broker
The banks are being strict on criteria which is a good thing with investors,
what they are looking for is investors that have a decent background income,
have a portfolio and can therefore show some history to managing property.
Not all lenders like too large a
portfolio in the back ground
The investors must be able to show the
deposit as coming from their own
resources and not from other investors
and are buying the property at full
market value and not buying distressed
sales or any other form of fancy
financing which is going on in the
background.
It is good to see growth in this market but to be honest all the fundamentals
are so right for Buy To Let investing and we ourselves invest in Buy To Let.
In simple terms housing is cheaper to buy, there are huge numbers of people
coming in from abroad who either can’t buy, don’t want to buy and need
somewhere to live and then add onto this low rates then you have got a great
recipe for building long term wealth.
Also like the article says as a lot of buyers are locked out of the market (this
may change with help to buy) it also means that the landlords can buy the
property and rent it out to the tenants who ideally want to be saving money
for a bigger deposit.
The Rise Of Buy To Let

3. Independent Mortgage Broker
I know we are talking significantly lower mortgage volumes but isn’t it
good news we are finally talking about growth again, ok it will take
many years to reach the figures for 2007 and we may never get back to
these heights but the fact is that banks now want to lend, people want
to buy and the rates on offer for Buy To Let are attractive and banks
truly want to do the business as this is how they make their profits.
The Council of Mortgage Lenders has said that experienced
landlords are in a great position to expand their portfolios, and I agree
with this sentiment.
Also if the number of deals available from the But to let lenders has
almost doubled again this are a great sign and a sign that competition
has come back to the market place.
I also agree that it can be difficult for new landlords to enter the market
place as so many things have changed but with the right advice and
advice from a whole of market mortgage broker and also a broker that
actively buys property are a great place to start.
If you want to discuss buy to let financing, please call me at:
Alton Mortgages on 01628 560 820 or arrange a call back.
The Rise Of Buy To Let