Undoubtedly, this year has been a turbulent one for buy-to-let investors. The changes introduced by former Chancellor Osborne, including the additional 3% stamp duty surcharge and changes to mortgage interest tax relief, have seen many face serious challenges.
In addition, the Bank of England’s Financial Policy Committee has been given greater powers over the buy-to-let market. This means it will be tougher to ascertain a mortgage and landlord home insurance.
Add to this more stringent Right to Rent responsibilities and health and safety requirements and the role of a buy-to-let landlord is growing.
Despite many suggesting that investing in property is a better alternative to stocks and shares, the Government’s measures have curbed growth. This has also caused concern that the buy-to-let windfall is coming to an end.
However, the latest data released from HMRC shows that demand for buy-to-let property is on the way up once again.
Buy-to-let mortgage specialist Bob Young, believes that the future is bright for the sector. Mr Young, chief executive officer of Fleet Mortgages, noted: ‘Recent data from HMRC appears to show growing activity and appetite amongst buy-to-let landlords to purchase and with a market highly sympathetic at the moment to those who are considering their remortgage options.’
‘It has undoubtedly been an interesting few months for the buy-to-let market and after a somewhat topsy-turvy summer, we are starting to see a more stable environment. Demand for buy-to-let lending has begun to improve,’ Mr Young added.