Average BTL mortgage over 30% higher year-on-year

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TBMC’s latest Landlord Profile Tracking Index has indicated a increase in both loan size and loan-to-value for buy-to-let mortgage offers during the third quarter of this year.

The commercial and buy-to-let specialist has also reported a narrowing price gap between fixed rates and trackers, meaning that fixed rates are proving popular amongst landlords, as well as continuing rise in remortgaging demand.

Andy Young, chief executive at TBMC, said: “It is encouraging to have seen the steady increase in loan size over the last three quarters with the average buy-to-let mortgage now over 30% higher than it was during the final two quarters of 2009. This reflects the gradual recovery of property prices and the availability of some higher loan-to-value buy-to-let products in the mortgage market. The average loan-to-value is also creeping up slowly and was 66.13% in quarter three compared with 64.23% during quarter one.””

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