It was previously revealed that the continuing economic crises had planted the perfect seed for the buy to let mortgage market which, it has now become evident, is growing to phenomenal new heights. As an aftershock of the on-going economic strain, present on a national and global scale, Great Britain’s financial sector has struggled to see substantial improvements and as a result; mortgage lending has rapidly declined. The much talked about economic crisis that has led to the all-time low in financial sanctioning, has left first time buyers out in the dark and created a massive surge in property rental; the ultimate buy to let heaven.
On the 1st August, the government introduced its ‘Funding for Lending’ scheme that will allow banks to borrow at a lower rate on the premise that they increase their consumer lending; however the scheme will take time to have an effect on a market that has, in the past twelve months, seen evident decline. According to the Royal Institute of Chartered surveyors; UK rent prices are set to see a 3.9 per cent rise over the next year; creating a further struggle for those seeking to move away from renting.
The RIC revealed that rent prices have seen a four per cent rise in the past twelve months, a declaration that comes as no surprise in an economy that has failed to see improvement and will continue to struggle well into the New Year.
Increased difficulty in mortgage lending has failed to see more first time buyer’s step into the market and in return created a competitive rental sector that is continuing to see immense growth. The rising market has however, created a dream scenario for landlords across the country who are now able to ‘snap up’ the abundance of quality properties left sitting on the shelf and earn thousands of pounds with a buy to let scheme.
Buy to let is officially one of the strongest markets in today’s uncertain environment and as rates continue to increase, it too, will simply continue to grow. With no clear outlook or the UK housing sector; now has never been a better time for investors to seek professional assistance from an experienced mortgage broker; and reap the rewards of a buy to let mortgage.