There\u2019s been a 38.6% increase in buy-to-let loans issued in the first quarter of 2025 year-on-year, the Buy-to-let Mortgage Market Update from UK Finance has revealed.<\/p>\n
Average buy-to-let rates have dropped in that period, as they averaged at 4.99% in Q1 2025, down from 5.40% in the same quarter last year.<\/p>\n
Nathan Emerson, chief executive at Propertymark, said: \u201cIt is positive to witness what we hope is a wider scale revival in buy-to-let lending across Q1 of 2025.<\/p>\n
\u201cThis trend has likely been encouraged by interest rates on buy-to-let loans being lower than they were in the same quarter for 2024.<\/p>\n
\u201cThese numbers demonstrate that more competitive interest rates are helping to attract more people to the buy-to-let market.\u201d<\/p>\n<\/p>\n
The average gross buy-to-let rental yield for the UK rose to 6.94% in Q1 2025, up from 6.88% in the same quarter in the previous year.<\/p>\n
Richard Donnell, executive director at Zoopla, said:\u00a0\u201cActivity from buy-to-let landlords is starting to increase\u00a0as mortgage rates stabilise and\u00a0yields from residential property move higher as rents rise faster than house prices.<\/p>\n
\u201cThe big landlord sell off is coming to an end after a decade of tax changes and higher borrowing costs that saw many landlords reconsider their strategy and property holdings.<\/p>\n
\u201cAs base rates start to fall, we are likely to see a continued increase in demand from landlords with a greater focus on strength and quality of cashflow rather than house prices inflation.\u201d<\/p>\n
On terms of negatives for landlords, there were 810 buy-to-let mortgage possessions in Q1 2025, up 28.6% on the same quarter a year previously.<\/p>\n","protected":false},"excerpt":{"rendered":"
There\u2019s been a 38.6% increase in buy-to-let loans issued in the first quarter of 2025 year-on-year, the Buy-to-let Mortgage Market Update from UK Finance has revealed. Average buy-to-let rates have dropped in that period, as they averaged at 4.99% in Q1 2025, down from 5.40% in the same quarter last year. Nathan Emerson, chief executive […]<\/p>\n","protected":false},"author":1,"featured_media":1965,"comment_status":"","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[2],"tags":[],"class_list":["post-1964","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-second-home"],"yoast_head":"\n