The latest data from Moneyfacts has revealed that there are now over 2,000 commercial mortgage deals available for buy to let borrowers. Around 464 new mortgage deals were launched over the last year.
Two years ago, there were 1,340 buy to let mortgage products, in 2018 this rose to 2,022, which is the highest total on record.
Part of the reason for this high number is the new lending regulations introduced by the Prudential Regulation Authority in September 2017. These affected portfolio landlords with four or more properties who apply for a new mortgage or want to remortgage. Many lenders offer at least two products, one for portfolio landlords and the other for non-portfolio landlords.
Some landlords have formed limited companies to purchase properties, and these require mortgage deals that cater to them.
It has been difficult for landlords who have had to pay extra stamp duty and experienced cuts to income tax relief on commercial mortgage payments, but the substantial number of loan deals available, show that the buy to let investing is still viable. Charlotte Nelson from Moneyfacts said:
“These extra products, which cater for landlords looking to reassess their options after the tax changes, are yet another reason why the overall product numbers have been boosted.”
With such a large number of mortgage deals available, it is difficult for landlords to find the best deals. A mortgage broker has the expertise to match individual borrowing requirements with the best loan offers.