LETTINGS NEWS: BUY TO LET LANDLORDS FACE MORTGAGE DEADLINE
It looks likely that buy to let mortgages will be more strictly regulated and harder to obtain from next year.
Some new landlords entering the sector, or existing ones wishing to expand their investment, are therefore expected to act in the near future ahead of the changes.
The Bank of England is talking with the Treasury about greater controls over buy to let lending which has increased 40 per cent since 2008. New controls not yet been revealed but are likely to be introduced next April.
It has already been announced that from the same date small-scale landlords wanting mortgages will be classified as ‘consumer buy to let’ borrowers, having to pass stricter tests and able to obtain mortgages only from heavily regulated lenders.