We are moving steadily towards the end of another very successful year in the UK mortgage market where total lending looks set to be around £210bn. This inflated figure has been helped along by the fact that the buy to let market has increased dramatically and there are more lenders in the market. In the case of this type of lending, we have not only seen brand new lenders, but also the return of some of the old ones that stopped lending post credit crunch.

Interest rates are so low that mortgage lenders can’t really cut them any more in order to win business. Instead of fighting it out in a rate war, providers are looking for new markets or niche areas for lending.

Fleet Mortgages, and Shawbrook Bank, both relatively new specialist lenders offer the facility to do Buy to Let mortgages through a Limited Company (which has certain tax advantages).

Lenders are also more willing to so allow student lets, corporate lets, local authority and Housing Association Lets, which are often a “no no” to the mainstream lenders.

Lending on HMO’s (Houses of Multiple Occupancy) is also on the increase, The Mortgage Works, Adermore Bank, BM Solutions, Kent Reliance and Leeds Building Society all have competitive products in this sector of the market, which a couple of years ago barely existed.

Ex-Pats wanting to invest in UK property have had it tough, but both National Counties and Shawbrook Bank launched products for clients living abroad, assuming they have some sort of a credit profile in the UK.

If you are thinking of investing in a Buy to Let property, there has never been a better, more competitive market to enter. To speak to a Buy to Let Mortgage Adviser contact us on 01628 507477.

Recent posts

The chancellor will deliver her second budget this autumn. Due to slow economic growth and high inflation, the government need to manage a £40 billion shortfall in public finances. There have already been reports about changes to taxes including income tax and capital gains tax.

The chancellor has advised that landlords could have another tax to pay this autumn as the Treasury decide whether to extend national insurance contributions to rental income. 

According to a report in the Guardian, senior ministers have asked Treasury officials to look into a “proportional” property tax to see how it would work as an alternative to the existing stamp duty land tax on owner-occupied homes. 

More than a quarter of UK adults in long-term relationships (26%) have reported that despite living together, they keep their finances separate from one another.

There has been a rise in both rent and mortgage costs over the last three years, with renters seeing a greater increase in their monthly payments than those with a mortgaged property.

The new Delayed Start Mortgage launched by Skipton Building Society allows first time buyers to postpone the first three mortgage payments. This product has been designed to help soften the blow of moving in costs for first time buyers. 

Mortgage lenders are starting to recognise their “Green” responsibilities when it comes to the different products they offer. 

A recent study by Boon Brokers where 1,000 people who had used an estate agent over the last year were surveyed, showed that a whopping 52% said they were pressured into using the estate agents’ in-house mortgage broker.