Experts back further investment - buy to let mortgages

Published: 16.5.2008

In news that may interest those considering taking out Buy to Let Mortgages, members from a panel of experts have backed the idea of buying further investment property.

Debating recently at the Property Investor and Homebuyer Show debate in Manchester, the panel suggested that there was still room for such moves as long as changes in the market were taken into account.

Glenn Armstrong of G & A Property said the key issue was the level of rent coming in over and above the cost of the Buy to Let Mortgages being paid on the properties, not the actual property value.

He said: "If every single one of our properties is generating at least £150 a month after the mortgage payment then the actual value of the property is immaterial to me."

Managing director of ISIS Alastair Dickens said the market fundamentals were still "pretty good", stating that the key now was for people to look around for the best financing deals, while Paul Nielsen of Yorkshire Bank said that demand for rental property was likely to go on being high as people could not all fulfil their hopes of becoming homeowners.

The most recent survey of the Association of Residential Letting Agents, published in March, showed that 46 per cent of landlords were looking to add to their portfolios.