LTV continues to rise

Since the beginning of the year there has been a gradual increase in the average loan-to-value (LTV) for buy-to-let mortgages processed by Property Hawk Mortgages. At the end of the 2011 the average LTV for mortgage offers was 63.41%, the lowest it had been for two years as the choice of higher LTV products for landlords was limited.

However, the last six months has seen a significant improvement in the number of lenders and products available at up to 80% LTV and there are even some 85% LTV products currently on offer. This is great news for landlords, especially professionals who may prefer a more highly geared portfolio, which can potentially allow them to release funds to buy more properties and increase their overall returns.

In Q2 2102 the average LTV for mortgage offers at Property Hawk Mortgages was 67.30% which is the highest it has been for two years

Search the whole BTL mortgage market free
 
Email: info@propertyhawkbtlmortgages.co.uk 

Tel: 029 2069 5446

IMPORTANT! Due to current market conditions, lenders are withdrawing and replacing products with little or no notice. Please check our website regularly to see the most up-to-date products available.

Your home may be repossessed if you do not keep up repayments on your mortgages.The Financial Services Authority does not regulate some forms of mortgage.

Honest tenants - they do exist

I was woken this morning by a text from one of my tenants checking that his rent had been received after he had changed his bank and his subsequent standing order.  I've just checked and his payment has sailed unhindered into my account as per usual. This is not the first time I've had a tenant contact me to make sure that I've received my rent.  If you are suffering with 'scumbag' tenants that constantly give you the run around then hopefully my experience highlights that 'nice, honest tenants do exist'.

If you are not so lucky with your tenants remember that you have the opportunity to post your questions in our landlord legal forum to get some answers of what to do next.

Legal Advice - fixed fees

Landlord Olympics

Is there such a thing as the Landlord Olympics?  It's an absurd concept.  Would there be a category for the best tenancy agreement, perhaps the most thorough property inventory or how about the fastest check out.  Well in these competitive times when there are  award for everything.  There is such a thing as the Landlord and Letting Awards.  This award is aimed at those that excel in the private rented sector.

Now Property Hawk has never sort glory.  We are just here to help landlords with the everyday struggle of letting property profitably.  But if you do fancy voting for us in the landlord awards feel free.  I have still got a little room on my mantlepiece.

Win, lose or draw landlords should enjoy the Olympics and remember - we live in a Great Country!

Landlord Insurance - professional rates

Variable rates still in favour

Since the beginning of the year, the buy-to-let mortgage market has improved with more lenders and products now available. This has led to greater competition between providers, together with persisting low interest rates, resulting in relatively stable product pricing overall. In Q2 2012 the average variable rate was 4.10% compared with 4.07% in the previous quarter.

However, the average fixed rate for offers processed by Property Hawk Mortgages in Q2 2012 did increase more noticeably to 5.06% up from 4.82% in Q1 (the highest since the beginning of 2010), although this may reflect the wider availability of higher loan-to-value  fixed rates which tend to be priced higher.  It will be interesting to see how average fixed rate pricing varies during the second half of the year

Search the whole BTL mortgage market free
 
Email: info@propertyhawkbtlmortgages.co.uk 

Tel: 029 2069 5446

IMPORTANT! Due to current market conditions, lenders are withdrawing and replacing products with little or no notice. Please check our website regularly to see the most up-to-date products available.

Your home may be repossessed if you do not keep up repayments on your mortgages.The Financial Services Authority does not regulate some forms of mortgage.

The rental yield charts

According to new research from Paragon Mortgages top of the rental yields are currently in the Yorkshire and Humberside area, with an average rental return of 6.8%.

1. Yorkshire and Humberside (6.8%)
2. Wales (6.7%)
3. South West (6.2%)
4. South East, exc London (6.2%)
5. Outer London (6.2%)
6. The North East  a 6.1% yield and in the 
7. West Midlands (6%),
8. Central London (5.8%)
9. East of England ( 5.7%) 
10. The East Midlands (4.5%)

TOWIE landlords

The only way is Essex for landlords according to statistics from one Essex estate agents that reports that it has seen an by 85 per cent  increase in demand for investment property in the area in the past four years.

Estate agent Beresfords reports : "An increase of 85 per cent in the number of people looking for buy-to-let properties since the early credit crunch days of 2008 shows that investors are seeing this as a very viable form of long-term investment."


The main locations reporting to be popular with property investors are Chelmsford, Colchester, Brentwood and Braintree.
 Beresfords says the so-called "Generation Rent", young people priced out of buying their own homes has increased dramatically over the past five years, fuelling the demand for rental properties."

Many young professionals find themselves stuck in rental property far longer than the previous generation.

I wonder if part of the difficulty is so much of their disposable income is used funding their fake tan habit. Sorry only joking, lets see one of those glimmering white bleached smiles.