The London buy-to-let mortgage market is booming as landlords continue to invest in rental property in expectation of a continued uptick in future London property prices and positive rental yields.
The latest data by home insurance broker Quotezone reveals that mortgage products designed to offer exclusive rates for higher loan amounts are the most popular product among London buy-to-let landlords.
In this survey, interestingly buy-to-let properties owned for ‘less than one year’ has seen a 22 per cent year-on-year rise during the pandemic. The data also showed that the average age of a landlord in the UK is 51, the lowest it has ever been.
With the troubled year London has faced, there has still been an increase in the number of buy-to-let mortgages becoming available to first-time landlords. According to Moneyfacts, around 65 per cent of buy-to-let mortgage came from first time landlords, up from 61 per cent in the previous year.
Many lenders are also offering much more attractive rates of 4.5 per cent for all five-year and above fixed rate calculations, down from a previous rate of five per cent. Established landlords are also enjoying more attractive aggregate lending limit increases.
The UK housing market had a fantastic year in general. At the end of 2020, mortgage approvals hit an incredible 13-year high and soar at record levels. With the stamp duty holiday extension, the sector will likely remain busy in the coming months.
If you are interested in a buy-to-let property and need a building survey to protect your investment, London Building Surveyors can help.
For more information or to discuss our services, contact London Building Surveyors today.