You are here: Home -

Lending rockets as buy-to-let boosts market

Written by: Christina Hoghton
House purchase approvals were up 20% between December and January, fuelled by the buoyant buy-to-let sector.

Growth in buy-to-let has boosted the overall lending market, with total purchase approvals in January reaching their highest level for nine years, according to a new survey by chartered surveyors e.surv.

It noted that the surge in buy-to-let lending ahead of the looming tax changes for landlords in April, means January saw 85,432 house purchase approvals. This was up a significant 20.6% from 70,837 house purchase approvals in December, and up 39.3% over the last year.

After a consistent run of annual increases, this yearly spike in house purchase lending signals the short-term impact of a surge in buy-to-let borrowing. This has happened at the same time that the overall lending market is also performing strongly, boosting total lending.

Richard Sexton, director of e.surv chartered surveyors, said: “Concerns about the sector’s growth have sparked a wave of legislation but as Stamp Duty changes come into effect this April, there’s been a rush to get buy-to-let loans approved. Many have predicted a narrowing of the buy-to-let sector but actually what we’re seeing in lending quarters appears to be the opposite.”

Related Posts

There are 0 Comment(s)

If you wish to comment without signing in, click your cursor in the top box and tick the 'Sign in as a guest' box at the bottom.

The savings accounts paying the most interest

If one of your jobs this month is to get your finances in order, moving your savings to a higher paying deal i...

Everything you need to know about being furloughed

Few people had heard of ‘furlough’ before March 2020, but the coronavirus pandemic thrust the idea of bein...

Coronavirus and your finances: what help can you get in the second lockdown?

News and updates on everything to do with coronavirus and your personal finances.

What will happen if rates change

How your finances will be impacted by a rise in interest rates.

Regular Savings Calculator

Small regular contributions can build up nicely over time.

Online Savings Calculator

Work out how your online savings can build over time.

Having a baby and your finances: seven top tips

We’re guessing the Duchess of Cambridge won’t be fretting about maternity pay or whether she’ll still be...

Protecting family wealth: 10 tips for cutting inheritance tax

Inheritance tax - sometimes known as 'death tax' - can cause even more heartache for bereaved families. But th...

Travel insurance: Five tips to ensure a successful claim

Ahead of your summer holiday, it’s important to make sure you have the right level of travel cover or you co...

Money Tips of the Week

Read previous post:
Fixed rates hit all-time low last year

Now could be the time to switch as lower fixed rates and static variable deals make remortgaging an appealing option.