Latest research from the National Landlords Association (NLA) reveals that the average buy-to-let loan applied for in the UK is £149,000.
The range of buy-to-let loan values does differ drastically around the UK, as one third (33%) of landlords borrow between £50k-£100k to fund their house buying.
Additionally, 27% of landlords borrow between £100k-£149,999. 13% borrow between £150k-£199,999. 5% borrow between £200k-£349,999, and 12% borrow over £250k.
Around the UK, landlords in central London borrow the highest amount, at about £228,000, a difference of £141,000 compared to the average landlord in Scotland, borrows under £87,000.
Full regional borrowings1
|South East (excluding London)||£152,777|
|East of England||£125,000|
|Yorkshire & Humberside||£103,431|
Chairman of the NLA, Carolyn Uphill, says: “While these findings indicate that the current mortgage finance market is healthy, it shows that landlords, and their finance needs, are far from homogenous.
“Like any small enterprise, private landlords are always looking for an opportunity to invest and grow and this is only possible if their individual circumstances are taken into account by lenders.
“In order to support the provision of homes where and when they are needed, landlords need access to tailored, affordable finance, which makes investment viable.
“Landlords who are looking for a new property should contact NLA Mortgages, where they will have access to a wide range of products not available in the general marketplace.
“NLA Mortgages features a free online search which will instantly check the best deals available and includes a handy rental calculator to help landlords find products that fit their expected rental income.”1