Landlords may finally have some good news in the buy-to-let market.
Data from Moneyfacts shows buy-to-let product availability has soared to a record high.
Overall buy-to-let product availability (fixed and variable) rose to 3,560 deals this month, its highest count on the comparison website’s electronic records.
Deeper analysis shows a month-on-month rise of 92 five-year fixed deals, and a rise of 114 two-year fixed deals.
Average fixed rates over two- or five-year fixed terms overall rose month-on-month. The average two-year fixed rate is lower year-on-year, Moneyfacts said.
Rachel Springall, finance expert at Moneyfactscompare.co.uk, said: “Landlords searching for a new deal will find the choice of buy-to-let mortgages has hit a record high, which could instil a sense of optimism. Views are mixed on how the buy-to-let market will fare this year, but lenders are clearly working hard to attract new business, such as those launching new deals at higher loan-to-value ratios, and even deals created for a limited company.
“Diving into the overall choice of buy-to-let mortgages shows there are still more deals with a fixed term of five years, versus two years, and both counts are at record highs. Five-year fixed buy-to-let mortgages have been in more abundance than their two-year counterparts since June 2020.”
Landlords will hope rates come down this year but Springall added: “Sticky inflation can delay further base rate cuts, and the swap rate market remains unpredictable.”
This article is taken from Landlord Today