In what is good news for landlords, buy-to-let mortgage competition is strong, and looks set to continue on this path.
Personal finance date provider, Moneyfacts, revealed that the number of buy-to-let mortgage products available to borrowers has increased by 15% over the last six months alone.
Moneyfacts spokesperson, Charlotte Nelson, said: “ The buy to let market has seen turbulent times with significant tax changes, tougher affordability rules and more changes to come into force in September. Many thought the BTL mortgage market might show signs of strain. And yet, rates have continued on a downward path.”
However, Nelson continued: “From September 30 lenders will have to apply stricter standards for landlords with four or more properties. Given that 89 per cent of the mortgage deals on the market today are available for borrowers with four or more properties in their portfolio, these changes will affect a large chunk of the market”
But continued competition in the buy-to-let mortgage market is positive for landlords. Research shows that the average two-year fixed rate mortgage has fallen from 3.22% in July 2016 to 2.91% in July 2017.
With this, and a strong demand for rental properties still evident, landlords have much to be optimistic about.
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