The popularity of buy to let continues to soar according to data analysts Moneyfacts, despite a raft of new regulations coming down on the sector.
Data from Moneyfacts shows that lenders are piling on incentives to attract customers; average rates have fallen dramatically while the number of deals that have no arrangement fee have more than doubled in just one year.
“The finding that the average two-year fixed rate has fallen by 0.37 per cent in just one year is particularly good news for older borrowers who are looking to access their pension pots to invest in bricks and mortar” explains Charlotte Nelson, finance expert at Moneyfacts.co.uk.
She says the increase in deals with no fee is a sign that BTL lenders are trying to diversify and offer borrowers more choice.
“However, borrowers still need to weigh up the true cost of a mortgage to ensure the best deal is secured. Anyone thinking about entering this sector would be wise to seek the advice of an independent financial adviser to see if BTL really is the best place for their investment” advises Nelson.