2016 mortgages – the changing face of buy to let.

Buy to let investors are being forewarned that with changes due to come into effect in March 2016, buy to let mortgages may become more difficult to achieve. Lenders are expected to tighten their criteria and introduce tighter affordability checks. 

As well as criteria being tightened, for the first time BTL mortgages will become regulated, in addition stamp duty is set to increase and tax breaks will be removed. All of this makes NOW the right time to climb on the investment property ladder. Just holding off three months could see your rental property dream evaporate.

The changes that are going to happen, are a clear indication that the Government wants buy to let to move into the corporate and professional realm, which will squeeze ordinary people out.

If you are not a rental property professional deriving your income solely from property, you will be considered as a consumer in need of protection and so subject to mortgage stress tests and affordability checks. To avoid missing out on being able to invest in a rental property start looking for a mortgage now.

For 2016 independent ‘whole of market’ mortgage advice call us at Deal Direct. We are regulated to offer mortgage advice by the FCA, but we are not regulated to offer financial advice. To work out if property is the right investment for you call an IFA.

• Note: Not all buy to let mortgages are regulated by the FCA.  

Call 0800 048 8828 for a competitive buy to let mortgage quote.