More landlords are looking for broker assistance when purchasing a buy-to-let property, according to new research.
Data from a report by the National Landlords Association suggests that 69% of landlords arranged their last by-to-let mortgage through either a broker or an intermediary.
13% of landlords questioned said that they arranged their latest mortgage directly with a mortgage lender in a branch, with 12% arranging over the phone. Only 5% of landlords sorted out their latest loan with an online lender.
The results of the report indicate that the top reason given by landlords using a broker was that they felt better placed to review products on the market as a result. (51%). 42% said that they had established a long relationship with their broker.
Of the landlords who had arranged a BTL loan through a lender, 35% said they did so as they had an existing loan with them and 27% cited the fact that they had a bank account with the same provider.
More landlords getting assistance from brokers
Carolyn Uphill, NLA Chairman stated, ‘brokers will be pleased to know that a large proportion of landlords chose to use them when arranging at BTL mortgage and it shows that a good relationship goes a long way in business.’ She feels that, ‘these findings are interesting because, unlike most other products and services, completing transactions online is becoming more and more common.’
Uphill continued by saying,’ ‘however, the variety of avenues to take when getting a BTL mortgage can be time-consuming and overwhelming and it’s difficult to know whether or not you have covered all bases, especially for those landlords that are new to the market.’
‘This is why many put their faith in a broker and it reinforces that they are happy with the service they get,’ Uphill concluded.