The latest buy to let lending figures highlight a rise in landlord borrowing – but the statistics are shrouding an underlying trend.
Interpreting the figures comes down to some careful reading of how the Council of Mortgage Lenders (CML) reports the findings. Continue reading Buy to Let Lending is Up – But It’s Not Booming
"Family homes are becoming more popular with buy to let landlords"
Landlords are becoming more family orientated and buying bigger homes to rent, according to a buy to let mortgage lender.
Paragon Mortgages research highlights that landlords buying investment property this quarter are keener on larger homes.
Around four out of 10 are looking to invest in semi-detached houses and a fifth are looking to buy a detached home.
The previous quarter showed 28 per cent of landlords wanted to buy semi-detached property and just nine per cent showed an interest in detached houses. Continue reading Landlords Look to Families for the Future
"New figures show gulf between major and minor buy to let lenders"
The Big Six mortgage lenders account for 81.5% of all buy to let and home buyer mortgages in the UK, according to figures from the Council of Mortgage Lenders.
The Big Six advanced £110.8 billion in 2010, while the 27 remaining lenders advanced £23.5 billion – an indication of the gulf between the major and minor players in mortgage lending.
For landlords, the figures are slightly skewed as Paragon Mortgages did not restart lending until October 2010, so the company’s results are missing from the figures. Continue reading Biggest Mortgage Lenders Dominate 81% of the Market
Mark Alexander - founder of Property118.com
One of my favourite sayings is that optimists see the glass as half full and look for the opportunity in every difficulty, pessimists see the glass as half empty and look for the difficulty in every opportunity and entrepreneurs are opportunists who take positive action regardless of market conditions, taste the contents of the glass and quench their thirst by drinking the contents if it tastes OK. The fourth group are of course the economists. They analyse the problem for a couple of years before reaching their conclusion that the glass was too big.
The landlords I speak to fall into three distinct camps;
- those who are sitting on large chunks of cash and carefully snapping up bargains,
- those who are stuck in a rut because they can’t afford to sell, they can’t refinance and they are worried sick about interest rate rises and
- those who are oblivious to what might happen as we pull out of recession or are simply burying their head in the sand. Continue reading Has the credit crunch been good or bad for buy to let landlords?
The buy to let market is saturated with tenants and the small remaining supply of private rented homes will soon dry up, according to a survey of letting agents.
The Association of Residential Letting Agents claims a lack of homes for rent is outstripped by demand. Continue reading Buy to let market swamped by tenants
Landlords are reporting a continuing demand for rented homes as mortgage lenders keep a tight lid on borrowing.
Signs are that the market is shifting away from first time buyers in favour of buy to let as the UK’s largest property investment lender, the Nationwide, called for more tax breaks for landlords.
The Nationwide – which lends to investors under The Mortgage Works brand – said they would rather lend to an established landlord at 95% loan to value than a first time buyer. Continue reading Tenants still queuing to rent, say buy to let landlords