The buy-to-let (BTL) sector experienced an increase in broker criteria searches during November, following a 10% rise in searches for holiday lets.
The data, from Legal & General’s SmartrFit platform, also revealed that searches for ‘regulated’ BTL mortgages jumped by 59%, with increasing numbers of borrowers renting out their property to a relative.
As the Help to Buy scheme reached its final few months, L&G also highlighted that its November data revealed that buyers continued to search for alternative support. Criteria searches for products suitable for discounted market sale (DMS) schemes grew by 20% in November. Similarly, searches on behalf of borrowers using gifted deposits climbed by 7%.
With the cost of living crisis continuing to impact household finances, L&G stated that its data indicates a “large shift in priorities” in terms of borrowing options. November saw a 60% jump in criteria searches for interest-only mortgages, exceeding market averages. With energy bills rising, L&G also suggested this potentially contributed to a further 67% spike in searches for products that consider a property’s energy performance certificate (EPC).
Managing director at Legal and General Mortgage Services, Kevin Roberts, commented: “With affordability coming under pressure in recent months, we would naturally expect activity to level off and the market to soften towards the end of the year.
“At the same time, it’s been reassuring to see certain areas of the market forge ahead and outperform averages. The ongoing cost of living crisis is notably influencing this demand, with increasing numbers of borrowers opting for interest-only mortgages and greener homes.
“With Help to Buy soon becoming redundant, it’s equally important for borrowers to consider the alternative avenues at their disposal. While the Treasury’s extension of the mortgage guarantee scheme could offer a lifeline to many, advisers must be on hand to help borrowers source the best solution for their individual needs.”
Latest News
Perenna and the long-term fixed mortgage market
Content editor, Dan McGrath, spoke to head of product, proposition and distribution at Perenna, John Davison, to explore the long-term fixed mortgage market, the role that Perenna plays in this sector and the impact of the recent Autumn Budget
The role of the bridging market and technology usage in the industry
Content editor, Dan McGrath, sat down with chief operating officer at Black & White Bridging, Damien Druce, and head of development finance at Empire Global Finance, Pete Williams, to explore the role of the bridging sector, the role of AI across the industry and how the property market has fared in the Labour Government’s first year in office.
NEW BUILD IN FOCUS - NEW EPISODE OF THE MORTGAGE INSIDER PODCAST, OUT NOW
Figures from the National House-Building Council saw Q1 2025 register a 36% increase in new homes built across the UK compared with the same period last year, representing a striking development for the first-time buyer market. But with the higher cost of building, ongoing planning challenges and new and changing regulations, how sustainable is this growth? And what does it mean for brokers?
Does the North-South divide still exist in the UK housing market?
What do the most expensive parts of the country reveal about shifting demand? And why is the Manchester housing market now outperforming many southern counterparts?
In this episode of the Barclays Mortgage Insider Podcast, host Phil Spencer is joined by Lucian Cook, Head of Research at Savills, and Ross Jones, founder of Home Financial and Evolve Commercial Finance, to explore how regional trends are redefining the UK housing, mortgage and buy-to-let markets.
In this episode of the Barclays Mortgage Insider Podcast, host Phil Spencer is joined by Lucian Cook, Head of Research at Savills, and Ross Jones, founder of Home Financial and Evolve Commercial Finance, to explore how regional trends are redefining the UK housing, mortgage and buy-to-let markets.
© 2019 Perspective Publishing Privacy & Cookies
Recent Stories