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As banks stop offering tenent loans, many are finding that the buy to let mortgage market is growing. Even if banks aren’t interested in offering any tenent loans at this time, there is still a huge market for renters. The amount of foreclosures in the UK have left many no choice but to go back to renting.

David Newnes from the Broker Your Move stated, “Buy-to-let will grow this year. Opportunities to invest are ripe for professional landlords able to secure financing. With rising tenant demand comes rising rents, buy-to-let yields will consequently improve. House prices are under pressure at the moment, and there’s scope for buy-to-let investors with collateral to get good deals to expand their portfolios.”

Ray Boulger from John Charcol concluded, “The only real question for borrowers who like the look of this product to ask themselves is whether it is right for them to take a tracker mortgage. I find it difficult to see an interest rate rise of any more than a quarter of a per cent, if at all, before we start to see rates fall off quite considerably next year, so tracker deals are clearly the way to go provided you do not need the absolute security of a fixed rate. Borrowers should also be aware there is a 99 pound non-refundable application fee.” 

Related reading: Tenent Loan