The
buy-to-let mortgage market is booming with landlords expecting growth in the next year, according to a survey.
Research by Paragon
Mortgages found that landlords expect their portfolios to grow by five per cent in 12 months, up from the 2.5 previously thought.
The survey said that landlords will own, on average, 12.2 properties worth £1.52 million, up from £1.45 million currently. The
mortgage lender said that it was the best growth reported all year.
John Heron, managing director of Paragon Mortgages, says: "We're clearly now in a more buoyant phase for landlords. The market has proved more resilient than many people expected, and we're definitely seeing a bounce back in buy-to-let.
He said that this growth in
buy-to-let mortgages is "to a significant extent" one of the results of lower financing costs after the Bank of England announced its
interest rate cut.
He said buy-to-let mortgages are offered at very competitive prices, either on a fixed or variable
mortgage rates. "This has fed through into the recent resurgence of activity," Mr Heron concluded.
