Buy-to-let loans increase by 17 percent over the past year - Select Property

Buy-to-let loans increase by 17 percent over the past year - Select Property

Written by Beth Hepple

The struggle for first-time buyers and the increased demand for rental properties is proving to be lucrative for investors.

In summary:

• Buy to let loans up 17%
• There are 1.4 million BTL loans
• Average LTV is 75%

Most news reports point to the fact that the buy-to-let market in the UK is thriving at the moment with many struggling to sell their current homes and with many would-be first-time buyers choosing to rent because they can’t afford to save the deposit for a house of their own.
Therefore it comes as no surprise that the rate of but-to-let investing has grown rapidly over the past year with the number of loans being obtained to purchase rental properties rising by 17 percent.
According to the Council of Mortgage Lenders (CML) there are now 1.4 million buy-to-let loans with the rate of lending for Q2 alone standing at five percent mote than the previous quarter with a 14 percent rise year-on-year.