Buy-to-let mortgages lending hits four year high

Buy-to-let lending accounted for 11.5% of total gross mortgage lending in 2012, up from 9.8% in 2011, according to data released by the Council of Mortgage Lenders. At £16.4 billion, gross buy-to-let lending was 19% higher than the £13.8 billion advanced in 2011, reaching its highest level for four years. A total of 136,900 buy-to-let loans were advanced during 2012 of which nearly half were for remortgage. In terms of loan performance, 1.14% of buy-to-let loans ended the year in arrears of more than three months, compared with 2.03% of owner-occupier loans. Skipton Building Society has launched a leading two-year fixed rate at 3.18% and it is available to investors with a 40% deposit. The arrangement fee is £1,995. Skipton also offers a 4.29% three-year fix for investors able to put down a 25% deposit. The arrangement fee is £1,495. February 15, 2013