The average buy to let loan now stands at approximately £149,000 according to the National Landlords Association. This figure does vary across the country with around 33% of landlords borrowing between £50,000 and £100,000 to fund the purchase of their rental property.
No surprises that London landlords borrow the most with an average of £228,000 – over £140,000 more than the average Scottish buy to let loan.
Carolyn Uphill, NLA Chairman, commented “While these findings indicate that the current mortgage finance market is healthy, it shows that landlords, and their finance needs, are far from homogenous.
“Like any small enterprise, private-landlords are always looking for an opportunity to invest and grow and this is only possible if their individual circumstances are taken into account by lenders. In order to support the provision of homes where and when they are needed, landlords need access to tailored, affordable finance which makes investment viable.”
“Many of our landlords are looking at further investment this year, there is definitely a better feeling around the sector” added Martin & Co Huddersfield Director, William Taylor (Letting Agent Huddersfield, Estate Agent Huddersfield, Property Management Huddersfield).