Buy to let news by: Madalena Penny
The latest study by UK finance reveals a marked decrease in buy-to-let mortgages during March this year.
Compared with 6,800 BTL loans taken out in March 2017, the latest data states that 5,500 were secured buy property investors and landlords for March this year. In fact, according to UK Finance, it relates to nearly 20% decline on buy to let mortgages. Another startling statistic reveals an 11% decrease on buy-to-let properties purchased with a mortgage for the first quarter of this year.
It has been suggested that the recent changes in the tax hikes placed on landlords could have a hand in the decline of BTL lending in the private rented sector, along with changes in regulations. With tax exemptions marking a stark loss of profits for landlords, and an unclear outcome on property investment in the long-terms, more-and more-landlords and property investors are being cautious.
Director of mortgages at UK Finance, Jackie Bennet said:
“There has been a relatively flat growth in lending to first-time buyers, reflecting recent Bank of England figures showing a fall in mortgage approvals. Meanwhile the buy-to-let market remains subdued, as recent tax and regulatory changes continue to have an impact on demand.”
However, if you are looking for a fast completion on buy-to-let investments, UX Mortgages. Along with loan provider Tiuta, have created a new ‘Dual’ product that combines bridging buy-to-let loans with an option to transfer the loan into a remortgage. Because of the speed of the product, investors can buy a property in a 24-hour time slot, making it a great product for ‘get in fast’ investments.
Managing Director of UX mortgages, Randeesh Sandhu said:
“Dual offers investors the peace of mind of a guaranteed mortgage and could potentially save purchasers thousands of pounds in interest compared with the traditional bridging model.