No fewer than 93 per cent of landlords financing buy to let property chose a fixed rate mortgage in the second quarter of this year according to respected broker Mortgages for Business.
Five year fixed rates in particular, were the most popular choice for landlords transacting via the company, with 69 per cent of landlords choosing this option.
“We’ve been recommending five year fixed rates for a long time. At the moment there’s very little difference in pricing between fixed and variable rate products. In today’s uncertain economic climate, particularly the road crash Brexit negotiations, fixing makes a lot of sense, especially as the average price is just 3.52 per cent. Why wouldn’t landlords make them a part of their business strategy?” says the chief executive of Mortgages for Business, David Whittaker.