Number of B2L Deals Doubles in Two Years
February 1, 2012
Now, call me a cynic, but as soon as this headline popped into my inbox this morning (courtesy of Mortgage Strategy), I thought: ‘fair enough, but what impact has that actually had on lending?’
A couple of minutes on Google revealed the answer: Not a huge amount. Latest stats from the Council of Mortgage Lenders (CML) show that the amount of buy-to-let lending (both by value and volume) has by no means shot-up over the last two years.
There may be more products available – Moneyfacts quotes a current choice of 486 products, compared to 243 in February 2010 – but that doesn’t mean that lenders are falling over themselves to lend.
As Young Group’s Director of Asset Management, David Mackenzie, says, “Despite the headlines, lending criteria remains tough and the situation remains little changed. It still all comes down to being well prepared when making an application; ensuring that you present the best possible case, that you’ve done your homework and can demonstrate to lenders that your proposition is as low a risk as possible.”