Landlords must remain "calm" - buy to let mortgages

25 March 2009

Holders of buy to let mortgages have been encouraged to remain "calm" during the recession.

David Salusbury, chairman of the National Landlords Association, told property investors they must act like "prudent business people".

Writing in UK Landlord, he stated that those involved in the buy to let sector "need to review their property portfolios, look at how they find tenants, the facilities they provide and whether they can make their rents more competitive".

Mr Salusbury noted that falling house prices should enable investors to make additions to their collection of rental homes, adding that there are still some competitive buy to let mortgages to be found despite the credit crunch.

In related news, a report has discovered that more landlords are opting for fixed-rate loans.

Legal & General's Mortgage Purchase Index showed that in the first quarter of this year, 68 per cent of buy to let borrowers took out a fixed product, compared to 43 per cent in the previous quarter.