You are here: Home - Buy to Let - News -

Buy-to-let mortgage rates fall further

0
Written by:
31/07/2017
Buy-to-let mortgage rates fall further

Buy-to-let mortgage rates are still falling, according to Moneyfacts, but at a slower pace than earlier this year.
 
The financial information provider noted that, despite the buy-to-let market facing a raft of challenges and regulatory changes, mortgage competition is showing no signs of stopping.

The average two-year fixed buy-to-let rate has fallen by 0.31% in one year, from 3.22% to 2.91%, although the pace of the fall has slowed in recent months.

Moneyfacts also noted that the market has now recovered from the significant drop in products that was seen at the start of this year. There are now 1,610 buy-to-let mortgage products available. 
 
Finance expert at the business, Charlotte Nelson, said: “The buy-to-let market has seen some turbulent times, with significant tax changes, tougher affordability rules and more changes to come into force in September.

“And yet, rates have continued on a downward path. Since the introduction of new regulation in January, however, the pace of the reductions has slowed considerably.
 
“Product numbers have been bolstered since the dramatic fall that occurred in January, giving landlords looking for a mortgage deal today more choice. This shows that after the initial shock of the changes in January, providers are keen to recover and keep the market buoyant.
 
“Providers are now starting to gear up for further regulatory changes. From September, lenders will have to apply stricter standards for landlords with four or more properties. Given that 89% 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.”

There are 0 Comment(s)

If you wish to comment without signing in, click your cursor in the top box and tick the 'Sign in as a guest' box at the bottom.

Save money now!

See how much you could potentially save by remortgaging to a different product

Your Mortgage Guides

Guide to Offset Mortgages

Download our handy guide to offset mortgages, brought to you in partnership with Scottish Widows Bank

Read More >

How much can you borrow?

A calculator designed to help you understand how much you can borrow towards your property
Read previous post:
house prices
Which borough has house prices of £11K per square metre?

House prices as measured by the average cost per square metre have risen a whopping 753% in the London Borough...

Close