Buy-to-let valuations on the rise
There were 33% more buy-to-let valuations in May 2015 than last year, while the interest from first-time buyers fell 4% in the same period.*
This reflects the property market quite accurately. April’s pension reforms gave the buy-to-let market a huge boost and many first-time buyers are moving in with parents to save up for their mortgage deposit, delaying their foray onto the property ladder.
Buy-to-let valuations were up 3% on April, while valuations for first-time buyers fell 2%.
It is a good time to be a landlord – the rental sector is very competitive and therefore incentivises investment in the market.
Buy-to-let mortgages are currently being offered at favourable rates and require smaller deposits, including:
- Fresh availability of 5-year and 10-year fixed, at historic low rates;
- "Let-to-buy" products allow a borrower to use equity in their existing home as a deposit on a buy-to-let mortgage;
- You can obtain mortgages where the borrower would be aged 80 years at the expiration of the term;
- You can gift equity in a property to your children and the gifted portion of the equity will be used as the deposit on the buy-to-let mortgages.
If you have plans of increasing the size of your portfolio in the near future, please contact your local Martin & Co office. We offer investment advice for landlords on all our service levels and can direct you towards your next buy-to-let purchase.
If you need to take out a buy-to-let mortgage Martin & Co recommends London & Country, the UK’s leading fee free independent mortgage broker. They search across the market to find the most suitable mortgage based on your circumstances. You can contact London & Country on 0800 923 2045.
YOUR HOME OR PROPERTY MAY BE REPOSSESSED
IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE.Most Buy to let mortgages are not regulated by the Financial Conduct Authority (FCA)