Buy-To-Let Mortgages In 2023
The dust continues to settle on the buy to let market, after a challenging fourth quarter of 2022.
Many lenders have recently reduced their interest rates, including Coventry Building Society who dropped rates by as much as 1.00% across some of their BTL product range. This coupled with the likes of Leeds Building Society and several other lenders, making improvements to their stress test calculations, has significantly helped with client’s ability to borrow, which is all helping with a return to normality.
As the calendar year ticks along and we approach the end of the first quarter, it is quite apparent that lender competition is hotting up for good quality, low risk business, which buy to let mortgages very much tick the box, so it is very likely that this sector will continue to see further enhancements, which will enable lenders to fill their pipeline, for completions activity over the remainder of 2023.
At the time of writing, we have market leading rates at 3.99% for a 2 year fixed, and rates starting from as low as 4.59% for a 5 year fixed mortgage. These are below the peaks at the back end of last year and again highlight the positive improvements that have taken place in just a short period of time.
I personally feel there is still room for more improvement and the offerings between various providers can still differ quite substantially, so good quality advice has never been more relevant for this sector, but the outlook is certainly way more encouraging than many feared only a few months back.
For expert financial services advice for your Buy-to-Let plans, pick up the phone or visit your local branch.