Rise in buy to let mortgage figures

There has been a rise in the level of buy to let mortgage figures, and this comes despite the housing slump and the decreased level of mortgage applications and approvals that have been reported over recent months.

It appears that the mortgage crisis has not had a negative effect on the buy to let mortgage based on recent figures.

The figures show that buy to let mortgages have smashed through the £1 million barrier, with a rise of close to 25% compared to 2006, when buy to let mortgages stood at £846,900.

At the end of 2006 the value of the buy to let mortgage market was £95 billion, and it now stands at £122 billion, reflecting a steep rise.

An official from the Council of Mortgage Lenders stated: ‘Tenant demand for private rented property remains strong, and buy-to-let is fulfilling an important role in helping to deliver an increased flow of high quality homes to rent. Buy-to-let has remained resilient in the face of the funding constraints that have affected the sector and the wider mortgage market. We expect to see a continuing healthy appetite for buy-to-let finance this year, in line with continuing expected consumer demand for private rental property.’