Buy to let activity witnessed spike in June

Despite the challenging financial climate, activity involving buy to let in Britain saw a significant spike in June.

New data from Legal & General’s SmartrCriteria tool shows that searches on behalf of portfolio landlords increased by 21%. Searches for buy-to-let mortgages increased by 7% in the same month.

Legal & General’s SmartCriteria tools is designed to track product searches from over 8,000 advisors to provide insight on purchase trends across Britain.

The data also shows that ‘holiday let/Air BnB’ was the ninth most searched criteria point, up from tenth the previous month. ‘Joint borrower sole proprietor’ was the fifth most used criteria description, while ‘first-time buyer/first-time landlord/non owner occupier’ was the third most searched criteria point.

The June data also found that demand for specialist products remained high, with searches looking for discounted market sale properties rising by 66%.

Commenting on the buoyant data, Danny Belton, head of Lender Relationships at Legal & General Mortgage Club, said: “It is reassuring to see strong demand across the board despite wider economic pressure. The fifth consecutive base rate rise, which came mid-month, does not seem to have dented the high levels of activity in the market and brokers and lenders alike are still as busy as ever.

“With product criteria changes coming thick and fast, advisers have a crucial role in reassuring and educating buyers through what might be a more difficult mortgage journey.”

If you’re thinking about investing in property for the rental market in the UK or are a landlord wanting to add to your portfolio, purchasing property at auction can be a great way to find the right investment. Check out the lots we have listed in our forthcoming auction in London.