Afternoon chaps
Thought some of the landlords amongst you may be interested in this. Since the start of the year, banks have increased their appetite for BTL lending with some historically low rates. Whilst you can get away with a 25% deposit, you should try and aim for 30% to really take advantage. Always check the arrangement fee though as these can be as high as 3.5% therefore its vital to work out the total cost of borrowing. In some instances, it will save you thousands to take a higher rate but pay a set fee to the bank.
(Taken from Mortgage Strategy)
Buy-to-let lending increased by 5 per cent in the second quarter of 2012, according to data published by the Council of Mortgage Lenders today.
Lenders advanced 33,200 loans worth £3.9bn in the three months ending June, up from 32,300 loans worth £3.7bn. Year on year, the volume of loans grew 14 per cent, from 29,100, while the amount grew 18 per cent, from £3.3bn.
CML director general Paul Smee says: “”Buy-to-let is continuing to show signs of recovery, and growing broadly in line with expectations. The rental sector has grown strongly over the last decade or so, and buy-to-let continues to help deliver a wider choice for tenants.”
The average maximum loan-to-value available on buy-to-let mortgages remained at 75 per cent, with the average minimum rental cover at 125 per cent, where both have remained broadly unchanged for the last three years.
The proportion of borrowers more than three months in arrears declined to 1.56 per cent, from 1.69 per cent at the end of the first quarter.
The CML reports that the proportion of buy-to-let properties taken into possession was unchanged at 0.12 per cent, while in the owner-occupied sector the data showed a small decline from 0.08 per cent to 0.07 per cent.
Separately, the number of repossessions in the second quarter of 2012 declined. At 8,500, the number of possessions in the three months to June was the lowest since the final quarter of 2010. There were 9,600 repossessions in the first quarter.
Thought some of the landlords amongst you may be interested in this. Since the start of the year, banks have increased their appetite for BTL lending with some historically low rates. Whilst you can get away with a 25% deposit, you should try and aim for 30% to really take advantage. Always check the arrangement fee though as these can be as high as 3.5% therefore its vital to work out the total cost of borrowing. In some instances, it will save you thousands to take a higher rate but pay a set fee to the bank.
(Taken from Mortgage Strategy)
Buy-to-let lending increased by 5 per cent in the second quarter of 2012, according to data published by the Council of Mortgage Lenders today.
Lenders advanced 33,200 loans worth £3.9bn in the three months ending June, up from 32,300 loans worth £3.7bn. Year on year, the volume of loans grew 14 per cent, from 29,100, while the amount grew 18 per cent, from £3.3bn.
CML director general Paul Smee says: “”Buy-to-let is continuing to show signs of recovery, and growing broadly in line with expectations. The rental sector has grown strongly over the last decade or so, and buy-to-let continues to help deliver a wider choice for tenants.”
The average maximum loan-to-value available on buy-to-let mortgages remained at 75 per cent, with the average minimum rental cover at 125 per cent, where both have remained broadly unchanged for the last three years.
The proportion of borrowers more than three months in arrears declined to 1.56 per cent, from 1.69 per cent at the end of the first quarter.
The CML reports that the proportion of buy-to-let properties taken into possession was unchanged at 0.12 per cent, while in the owner-occupied sector the data showed a small decline from 0.08 per cent to 0.07 per cent.
Separately, the number of repossessions in the second quarter of 2012 declined. At 8,500, the number of possessions in the three months to June was the lowest since the final quarter of 2010. There were 9,600 repossessions in the first quarter.
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