A new survey has revealed that UK homeowners are over twice as likely as buy-to-let landlords to be in arrears.
According to mortgage servicer Computershire, only 1 in 166 buy-to-let mortgages is in arrears by at least one month. This is in comparison to 1 in every 73 residential loans.
The figures from Computershare Loan Service’s figures indicate that there is a regional disparity within the figures. 1 in 71 buy-to-let mortgage holders in Wales were found to be in arrears, as opposed to 1 in 667 in the East Midlands.
Similarly, 1 in every 51 residential loan holders in London were found to be in arrears, in comparison to 1 in every 112 in the South West.
The table below shows the disparities between buy-to-let and residential mortgage holders, suggesting those with landlord insurance are less in arrears:
|Proportion of mortgages in arrears||Buy To Let||Residential|
|Yorkshire and Humberside||0.55%||1.27%|
|Average for Great Britain||0.6%||1.37%
Andrew Jones, CEO of Computershare Loan Services, noted: ‘When mortgages fall into arrears, problems can arise for borrowers, lenders and tenants, so loans must be administered in a way that takes into consideration the individual circumstances of every customer.’