Buy to Let mortgage purchases outweight remortgages by 12% since January - 29.06.2009

Landlords are flocking to expand their portfolios, stimulating a significant increase in the number of mortgages arranged on new purchases since last January.

The latest figures from Mortgages for Business indicate that landlords are piling in to the housing market.  In January, remortgaging existing mortgages comprised 45% of the mortgage broker’s buy-to-let transactions while only 55% of mortgages were arranged on new purchases.  Six months later and just 35% of the Buy to Let mortgages that Mortgages For Business writes are Buy to Let remortgages, while the proportion devoted to new purchases has risen to 65%.

David Whittaker, managing director of Mortgages for Business said: “These figures indicate landlords are eager to capitalise on the downturn in the housing market.  Buy to Let landlords don’t want to be caught napping as an upturn gains momentum in the near future.  Our transaction figures offer some hard stats to flesh-out some of the anecdotal evidence we’ve been hearing about green shoots and a turnaround in the housing market.  Increased confidence in the Buy to Let markets suggests landlords expect the green shoots to take root in the foreseeable future.”