Low rates remain for buy to let mortgages
Landlords have been taking advantage of record low rates when it comes to financing their property investments.
The Bank of England recently announced they would keep the base interest rate 0.25%. While swap rates did see a slight increase in final quarter of 2016, buy to let landlords remain unaffected thanks to the lower base rate, according to research from Mortgages for Business.
The news is thought to have been welcomed by investors, who have recently seen a change to stamp duty rates as well as tax relief on mortgages. The low lending rates will reduce mortgage repayments for existing investors and also entice new investors to the market who are looking to take advantage of the deals available.
Recent reports have also highlighted that property still remains one of the most viable investment types currently in the UK, even despite the changing market conditions. Current reports have shown buy to let even continuing to outperform the returns made from pensions and other similar saving schemes.
Graham Davidson, Managing Director at Sequre Property Investment, comments on the low rates for landlords –
“Investors should really be taking advantage of the low base rates on offer at the moment. It’s great news for any potential landlords that the Bank of England has made the decision to keep the rates as they are, meaning anyone looking at a buy to let purchase can benefit from these phenomenally low costs.”
“While market conditions have changed somewhat in recent times, there’s nothing to indicate that the large majority of those investing in buy to let won’t be seeing a decent profit if they continue to invest smartly and sensibly. Returns can still be great for investors and these low rates only serve as an added bonus. Our advice would be to anyone thinking of making their first buy to let purchase would be to do so now whilst lending cost are still so favourable.”
At Sequre, we can provide you with all the necessary tools you need to make a worthwhile and profitable investment. We specialise in negotiating deals on our properties meaning you can purchase a completely exclusive and off-market property at a discounted price, resulting in instant equity from day one. You won’t find our properties anywhere else on the market so to take advantage of these deals, contact our team today on 0800 011 2277.