Mortgage Express has doubled the size of its maximum buy-to-let loans to £2m – a clear sign that lenders believe fears of a buy-to-let downturn are unfounded.
The increase acknowledges the rising cost of property, particularly in the south east. Mortgage Express is confident about the future of buy-to-let after its own research found nearly two-thirds of landlords are planning to increase their portfolios over the next two years.
Roger Hillier, product development manager at Mortgage Express, says: “Despite speculation in the press that the market may be saturated and that the buy-to-let bubble is about to burst, it's clear to us that property investors are confident in its long-term prospects. So we've responded with a maximum total loan increase which will allow landlords to capitalise on this, and which takes into account the rise in property prices.”