Buy-to-Let Mortgages Celebrate 18 Years
Hasn’t the buy-to-let sector come a long way in the 18 years since specific mortgages started to be offered by the major lenders to help landlords fund the purchase of an investment property?
Back in 1996, there were 2.4 million residential properties within the private rented sector. Today, there are 4.9 million homes.
There can be no doubt that the ability for a landlord to arrange a buy-to-let mortgage has had a bearing on this increase. Previously, it would have proved difficult for someone to start to get on the buy-to-let property ladder by investing in his or her first rental property. They would either have had to fund the purchase outright from savings or borrow the money from a bank on a business loan involving them having to find a larger deposit than they have to do these days with a conventional buy-to-let mortgage and pay a higher rate of interest and fees.
There are numerous lenders currently offering buy-to-let mortgages. This makes it a very competitive marketplace resulting in the customer being able to benefit from some excellent deals.
To find the most suitable buy-to-let mortgage can involve some research on the part of the landlord. You could just visit some of the various banks and building societies in the high street of your nearest town and discuss matters with a mortgage adviser and get some quotes. The likes of mortgage brokers can also be a great help in finding the most suitable buy-to-let mortgage. Another option is to enquire via a price comparison website on the Internet to see what buy-to-let packages are available.
Do remember when looking for a competitive deal to not only take into account the interest rate but other things like the fees involved such as arrangement, valuation and legal fees. It pays to shop around for the most suitable package.