The recent news that the base rate is set to remain at 0.5% is good news for buy to let mortgage holders
. For many years now, people who are not in a position to afford their own home have looked to rental properties and with the number of students heading to university and immigration levels remaining at a steady level, the need to rent is still high.
Buy to let mortgages have been on the market for many years and they have proved to be very popular. For those that are looking to get one, there are a few things you need to consider first. As with any type of mortgage you need to think about whether a fixed or a variable rate is better for you. When buy to let mortgages first came on to the scene around 1996, most deals were from the large banks and lenders and were variable. However, as the buy to let market has grown more niche lenders have arrived on the market and the larger banks and lenders have refined their offerings so you now have a great range of deals.
Finding these deals is not always the easiest thing to do though, after all if you are not an expert in the market; mortgages are not something that your average person has a lot of knowledge about. Therefore seeking the advice of those who know the ins and outs of buy to let mortgages is important. Whole of market mortgage brokers were introduced to help investors looking for these types of mortgages to find the best deal that matches their financial requirements. The whole of market mortgage brokers, who are accredited by the Financial Services Authority (FSA), will be able to help everyone looking for a buy to let mortgages so seek their advice before deciding whether you are making the right decision.
The future of buy to let mortgages look reasonably secure and this is helped by socio-economic factors such as divorce rates and a trend of single occupancy flats. When you add students going to university into the mix you have plenty of people that are going to be looking for a rented property in the coming future. Rental properties are also a sound investment for people rather than other options such as shares in companies which is a risky investment at the moment. Whether you are remortgaging or looking for your first buy to let mortgage, you should seek the advice of a whole of market mortgage broker.