20 Feb Landlord lending rocketed towards the end of 2014
According to the Council of Mortgage Lenders, mortgage lending to landlords jumped up 26% during the last four months of last year. Loans of £7.7 billion were handed over to buy to let landlords which is 32% more than the same period of time in 2013 however, mortgages to first time buyers was recorded as 2% lower than the previous quarter of 2014 but 5% higher on the same period in 2013.
In total, 197,700 buy to let loans were given by banks and building societies during 2014 which is a huge 23% more than in 2013 and the total lending for house purchases rose by 1.5% month on month in December compared to the previous year but was down by 5.1% year on year. According to Generation Rent, a campaign group, stated that £26.7 billion could be earned by a landlord from the taxpayer which is the equivalent to £1,011 for each property in the country, bearing in mind, that’s 26.4 million houses.
In December 2014, the average house price in the UK was £272,000 which increased by £1,000 since the previous month. It seems that it is still an optimum time to become a buy to let landlord. If you are looking to purchase your first buy to let property or to add to your portfolio, please contact PPS as we have many below market value properties for sale in the UK today.