Landlords still have a great choice of mortgages

Landlord mortgage availability has been hugely affected by the Coronavirus crisis, just like the rest of the mortgage market.

But, after an initial wave of large numbers of deals being pulled from the market, lenders are regrouping and relaunching buy-to-let products.

Very few lenders have stopped lending to landlords altogether.

Research from specialist buy-to-let mortgage adviser, Mortgage for Business, shows the vast majority of buy-to-let lenders – 85% – are still offering mortgages to landlord’s.

It said that, out of 49 buy-to-let lenders, only seven have stopped lending to landlords – HSBC, Together, Foundation Home Loans, Vida Home Loans, Platform Home Loans, State Bank of India and Furness Building Society.

Lenders that temporarily stopped lending but have now returned include Clydesdale, Santander, Precise and Kent Reliance.

While most are still lending to landlords, many lending have tightened criteria to reduce their risk.

It means there are far fewer borrowing options overall, with the number of buy-to-let products dropping by almost 50% since the start of March 2020.

Mortgages for Business added there are currently no lenders offering buy-to-let mortgages up to 85% of the property’s value, meaning landlords need at least 20% or 25% upfront.

There is no need for landlords to panic, those looking to re-mortgage have fewer options. but they still have plenty to select from.

Best advice for landlords looking to re-mortgage is act sooner, rather than later. You may have to answer a few more questions when you’re applying for a re-mortgage that you would have had to last month – but a broker will still be able to find you a good deal.

If you would like to know more about a new or re-mortgage or options available please do make contact and one of our independent advisers will be happy to assist.