Date Published 13 November 2019
The latest data has revealed an overall slowdown in mortgages, despite the stability in the buy-to-let market, with an expected further growth of 1% per cent in the next quarter.
Paragon, a lender and savings bank, has recently published their Financial Adviser Confidence Tracking (FACT) Index for the latest quarter (Q3), which has recorded the average number of mortgages introduced in 2019, down 3% in the second quarter, the lowest figure since 2017 - but despite this slowdown, the buy-to-let market has remained relatively stable.
A notable decline was recorded in 2016 for buy-to-let mortgages but the latest figures comprised 17 per cent of mortgages introduced, up 2% from 15 % in Q2 2019.
In terms of buy-to-let business completed in 2019, quarter three saw first time Landlords grow from 11% to 13% and re-mortgaging climbed from 52% to 55%. However, the proportion of landlords raising finance for portfolio extension was smaller, down from 23% of business in the quarter two to 20%.
Looking ahead, a 1% increase in buy-to-let is expected in the next quarter.