London 'most popular place' for buy-to-let property
London is the most popular place for investment in buy-to-let property, according to a new report by mortgage broker TBMC.
The research shows that the capital accounted for more than 17 per cent of mortgage offers made to buyers during the first quarter of the year.
It was followed by Portsmouth, Sheffield and Brighton, where demand for buy-to-let finance was stronger than in other parts of the country.
Growth in investment was also seen in major cities such as Birmingham, Manchester and Cardiff.
Higher tenant demand in many areas may be encouraging more landlords to invest in buy-to-let properties.
According to a recent survey by Paragon Mortgages, almost half of landlords saw an increase in demand for their rental homes in the first quarter of the year.
Only five per cent of those questioned said they had seen a decline.
Furthermore, over half of landlords said they were anticipating even higher demand in the 12 months ahead.
TBMC's report also showed that terraced homes and flats accounted for the biggest proportion of buy-to-let properties on the market during the period.
In total, mortgages for these types of homes made up 60 per cent of all buy-to-let loans advanced by the group.
Chief executive Andy Young said finance for landlords has continued to improve in recent months as lenders bring new products to the market.
"Increased competition has resulted in better schemes being offered to buy-to-let investors enabling them to borrow more at higher gearings," he remarked.
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