Buy To Let sector showing signs of stability
The cost of Buy to Let mortgages remain at a record low however over the past three months there are growing signs that borrowing costs and rates within the sector are beginning to stabilise and possibly increase.
Mortgage Brain say the cost of an 80% Loan to Value two-year fixed mortgage is now 18% lower than it was at the beginning of 2014 and 11% lower than it was 12 months ago.
Buy to Let investors who favour long term deals can benefit from savings, according to Mortgage Brain’s recent figures saying the cost of 60% Loan to Value five-year fixed Buy to Let mortgage is now 15% lower than in 2014. Similarly, its 70% Loan to Value mortgages are 14% lower and 80% Loan to Value mortgages are 11% lower.
Mortgage Brain’s short term analysis has shown signs of stability, despite the long period of reduced mortgage rates.
A spokesman for Mortgage Brain commented; “Like our recent residential mortgage product analysis the Buy to Let sector looks like it could be levelling out and moving away from the long period of historic lows in terms of costs and rates. Buy to let investors can still take advantage of some good savings and low rates when compared to this time last year, however, the mixed and marginal movement in costs over the past three months could be seen as a further sign of stability, or even the start of a period of rises.”
Full story available from LandlordTODAY: https://www.landlordtoday.co.uk/breaking-news/2017/2/btl-mortgage-costs-and-rates-moving-away-from-long-period-of-historic-lows