Lenders launch new buy-to-let mortgage products
Those considering investing in buy-to-let properties could benefit from a number of new mortgage products that have recently come onto the market.
Several lenders have launched new buy-to-let mortgages in recent days, as the renting sector continues to expand and finance becomes more easily accessible following the recession.
Among the new offers is an improved product range from the Mortgage Works, which includes a two-year tracker at base rate plus 2.49 per cent up to a 65 per cent loan-to-value (LTV) lending ratio and a two-year tracker at base rate plus 2.79 per cent available up to 75 per cent LTV.
Mortgage Trust, meanwhile, has launched a new buy-to-let range comprising 18 new products, with tracker rates starting from 3.69 per cent and fixed rates start from 4.29 per cent, while LTVs range from 65 per cent to 75 per cent.
Finally, NatWest has made a number of cuts to the rates of its buy-to-let range, reducing some of its two-year fixed-rate options by up to 1.4 per cent.
Improved availablity of lending could help more potential landlords start investing in properties and take advantage of booming demand for rented accommodation.
According to Darren Owen, director at Property & Finance Solutions, a finacial advice service, now is an excellent time to invest in buy-to-let properties, but this has previously been held back by a lack of mortgage availability.
"Without a doubt. If you have got capital, then there has never been a better time to buy - there really hasn't," he said.
"The issue comes back to the finance because even people with capital don't really want to pay cash for a property; they want to obtain some sort of mortgage because the problem with property is that it is not a very liquid asset."
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