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Lenders Try to Bolster Flagging Buy to Let Market With Record Low Rates

Moneyfacts reported recently that mortgage lenders are slashing rates on products designed for residential landlords, in a bid to boost the BTL market which may dip following the passing of the stamp duty surcharge deadline.

"While the new tax rules and stamp duty charges could potentially take the shine off BTL investment, property is often seen as a safe bet, and with rental properties in demand and rent high, buy to let remains an attractive proposition" said Charlotte Nelson, a Moneyfacts spokeswoman.

Moneyfacts' analysts say that mortgage providers have cut rates in the run-up to the stamp duty changes in order to attract those keen to buy before they were implemented, which has further aided the downward slide in rates.

Indeed, the figures show that BTL mortgage rates continue to fall dramatically across the market - a trend that's been apparent for the last five years - with the fixed sector experiencing particularly beneficial reductions. The table below shows the changes in more detail, and as you can see, the reductions are marked.

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