85% Of Buy-To-Let Lenders Still Lending

Some 42 of the 49 buy-to-let lenders operating at the beginning of March are still lending despite the impact of coronavirus, analysis from Mortgages for Business shows. Together Money and Vida Homeloans have both pulled out of the market, while HSBC is no longer accepting buy-to-let applications. However Santander, Clydesdale, Precise Mortgages and Kent Reliance have now restarted lending, after initially taking a step back. Shawbrook and Paragon meanwhile are using virtual valuations against standard properties up to 75% loan-to-value. Read more on the Property Wire website.

https://www.propertywire.com/news/85-of-buy-to-let-lenders-still-lending/

Home Repossession Claims Highest In More Than Four Years

Mortgage lenders’ claims for home repossession in England and Wales rose to the highest since late 2014 during the three months to June, according to official data that add to concern about households’ finances. The Ministry of Justice recorded 6,179 claims in county courts for repossession, a 39% rise compared with a year ago and the biggest annual increase since the financial crisis. Read more on the Reuters website.

https://uk.reuters.com/article/uk-britain-economy-repossessions/home-repossession-claims-in-england-wales-highest-in-more-than-four-years-idUKKCN1UY1BU

Do Lenders Really Oppose Longer Tenancies?

As market conditions have steadily improved in the aftermath of the financial crisis lenders have shown an increasing appetite to advance mortgages to landlords who want to offer longer tenancies to those renting in the private rented sector.  Although it is for individual firms to determine their own lending policies, an increasing number of lenders are now willing to offer mortgages to landlords who want to provide extended tenancies. The housing charity Shelter has acknowledged this. Last year, it published a blog pointing out that there is now a growing number of lenders who are willing to offer mortgages to landlords wanting to provide longer tenancies. And these mortgages are still available. Read more on the CML website.