View more on these topics

CML: BTL lending increased 5% in Q2

Buy-to-let lending increased by 5 per cent in the second quarter of 2012, according to the Council of Mortgage Lenders.

CML data published today shows lenders advanced 33,200 loans worth £3.9bn in the three months to 30 June, up from 32,300 loans worth £3.7bn.

This is up 18 per cent from £3.3bn in the second quarter of 2011, when lenders advanced 29,100 BTL loans.

CML director general Paul Smee says: “”Buy-to-let is continuing to show signs of recovery, and growing broadly in line with expectations. The rental sector has grown strongly over the last decade or so and buy-to-let continues to help deliver a wider choice for tenants.”

The average maximum loan-to-value available on buy-to-let mortgages remained at 75 per cent, with the average minimum rental cover at 125 per cent. Both have remained broadly unchanged for the last three years.

The proportion of borrowers more than three months in arrears declined to 1.56 per cent in the second quarter, down from 1.69 per cent in Q1.

The CML says the proportion of buy-to-let properties taken into possession remained unchanged at 0.12 per cent, while in the owner-occupied sector the data showed a small decline from 0.08 per cent to 0.07 per cent.

Newsletter

News and expert analysis straight to your inbox

Sign up

Comments

    Leave a comment

    Close

    Why register with Money Marketing ?

    Providing trusted insight for professional advisers.  Since 1985 Money Marketing has helped promote and analyse the financial adviser community in the UK and continues to be the trusted industry brand for independent insight and advice.

    News & analysis delivered directly to your inbox
    Register today to receive our range of news alerts including daily and weekly briefings

    Money Marketing Events
    Be the first to hear about our industry leading conferences, awards, roundtables and more.

    Research and insight
    Take part in and see the results of Money Marketing's flagship investigations into industry trends.

    Have your say
    Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

    Register now

    Having problems?

    Contact us on +44 (0)20 7292 3712

    Lines are open Monday to Friday 9:00am -5.00pm

    Email: customerservices@moneymarketing.com