‘BTL lending to hit £25bn in 2014’

Buy-to-let lending will reach £25bn by the end of 2014, a 25% increase on lending in 2013 according to forecasts by Mortgages for Business.

The specialist mortgage broker says lending to buy-to-let investors is now 135 per cent higher than the dip in 2009 when it fell to £8.5bn but still remains way below the 2007 peak of £45 billion.  

In separate research, Mortgages for Business polled 278 property investors and found that across all levels of property investment 57 per cent of landlords intend to expand their portfolios over the next six months. The findings also showed that the landlords with the most properties already in their portfolio are the most likely to expand in early 2014.  

Mortgages for Business managing director David Whittaker says that despite easing conditions for owner-occupiers and first-time buyers, the prevailing conditions mean the private rental sector remains a vital element of the housing mix.

He says: ”The growth in lending to property investors is proof of this and the intention of landlords to expand further demonstrates that demand for rental property shows little sign of waning.”