Analysts predict a boom in the rental market of housing in great Britain

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Mortgage market with the purpose of letting ( Buy to Let) is growing again on the back of high demand for residential property in the UK, intended for rental. Mortgages in the UK

Recent data showed that in the first quarter of 2013 the real estate market in the UK was granted a total mortgage loans on a “Buy to Let” for a total gross amount of £ 4.2 billion – which amounted to about 33500 mortgage loans. In the previous quarter, this figure amounted to £ 4.6 billion in the first quarter of 2012 – £ 3.7 billion.

Almost half of these loans were issued as part of lending, but the lending sector for “Buy to Let” continues to rise and lending conditions have significantly improved.

By the end of March 2013 the total outstanding mortgage loans under the “Buy to Let” was 13.4% of the total amount of outstanding mortgage loans in the UK, compared to 13% in the previous quarter and 12.9% at the end of the first quarter of 2012.

Currently, the residential real estate market of great Britain issued of 1.46 million mortgages, accounting for about 13 % of the total amount of all mortgage loans, the amount of which reaches 11.26 million.

The mortgage market is a “Buy to Let” works well in the background of the reliability of the landlords and good demand for quality housing from tenants. Interest rate on loans allows landlords to provide a lag between the payment on a mortgage and the value of rent, which undoubtedly is a deciding factor for homeowners.

Private rental sector is projected to grow in the long term, new families, so the creditors think, how to improve conditions for those potential home owners who might want to offer its tenants with long lease terms. At the moment, has not yet formed the specific requirements of those potential landlords to lenders, but it is clear that we have to work in this direction.

Even at idle the economy, the lending market, “Buy to Let” sees rosy prospects for its development. High rents, flat, almost without increasing the cost of affordable housing and improvement of conditions of mortgage loans – all this encourages investors to add to the scheme of “Buy to Let” in your investment portfolio.

The increase in demand for rental in the private sector of inhabited real estate of great Britain specialists associated, among other things, increase the number of people who have to work away from the residence and workers in seasonal occupations.

Thus, landlords, homeowners, rightly foreseeing a boom in the rental market of the UK, take positive steps, fairly increasing their portfolios, and mortgage lenders, in turn, are out to show that they are ready to take all measures to assist these owners. All this testifies in favor of the lending market, “Buy to Let” is very strong.

® Alice Morgan 10.05.2013