Property Investment Portfolio Blog

The Mortgage Works (TMW) have launched new products today, offering up to 80% loan to value on buy to let properties for landlords with one or more property. This is the first buy-to-let product at over 75% we have seen in some time and is a very positive sign for the buy-to-let mortgage market. Rates on offer through TMW are very competitive as well, with one year fixed and variable rates from 4.69%.

Nationwide have also dropped rates on several of their products today and we have just had the announcement that the Bank of England will not be increasing the base rate, leaving it put at the record low of 0.5%.

Jackie Dunn, PIP’s latest recruit was last week featured in the Nottingham Evening Post Newspaper. Jackie’s experience and expertise has already made a big impact on the management side for PIP in and around Nottingham.

We have also taken on several new recruits in our Hull Office to facilitate our ever expanding office in the NorthEast.

Arv Soar and Property Investment Portfolio have recently been featured in the Midland’s Business News online magazine for their work in Industrial Property in Mansfield. The full article can be read on the following link:

http://www.midlandsbusinessnews.co.uk/2010-03/rock-valley-soars.aspx

Figures from a recent survey show that mortgage approvals across the UK fell by 17% in January, as the housing market experienced a steep fall in activity.

There were a total of around 48,000 loans in the pipeline for January, a low level not experienced since May 2009. Gross lending was down at just over £10 billion in January, compared to around £13.5 Billion back in November.

The general hangover from Christmas and the weather have certainly not helped matters, but two things are also becoming very apparent over the last few months. Firstly, first-time buyers seem to be favourable with lenders at the moment, with some excellent products on the market for potential clients with a good credit history. Secondly, buy-to-let rates are falling gradually with several new competitive products hitting the market over the last few weeks. However, as our last article suggests, the number of mortgage applications being  refusaled has risen. These figures are however not always entirely representative of the true story in the marketplace. Many refusals are made to potential borrowers walking in to their high street bank and getting point blank refused.

Speaking to a mortgage broker who is whole of market can dramatically increase your chances of obtaining a mortgage, and often at a far superior rate than your high street bank can offer. Our recommended brokers are all indusrty wide – ie they can scour the market to find the best rates on offer from all lenders, and not just one or two that you can speak to in person. They are also very familiar with lending criteria for each lender, and can ensure that the criteria for the products they put you forward for are in alignment with your age, income and employment status, to name just a few.

For more information on how our recommended brokers can help you or for a free chat, email us at info@propertyinvestmentportfolio.com and we will ask one of our recommended brokers to get in contact at a time convenient for you.

According to a report just released by Connells Survey & Valuation the number of valuations cunducted in February increased by 22%, compared to the same month last year. Activity has also increased for the sixth consecutive month, which reinforces reports from many estate agents that consumer confidence is returning in the housing market.

First time buyers help increase demand in February, with around 63% more first-time buyers requesting valuations in February than in January. There was also a month on month increase in valuations carried out by current homeowners looking to move – also up by over 40% on January.

Valuation activity for those looking to remortgage and buy-to-let activity also rose in February with valuations carried out for buy to let investors surgin up 81% and remortgaging levels levels doubling compared to January. However, these increases from buy-to-let investors and those looking to remortgage were from a very low January base – mainly due to the difficulties in obtaining mortgages in these sectors.

Managing Director of Connells Survey and Valuation Ross Bowen commented, “Traditionally, the valuations market begins to see a boost in activity in January following the Christmas lull. January witnessed a hangover from re-instating the lower Stamp Duty threshold while the arctic weather conditions disrupted some buying activity. However, February saw househunters back on to the streets in force, with activity bouncing back as a result.”

He added “In January, we saw first-time buyer activity drop off slightly compared to December. Many first-timers had rushed to make their transactions before stamp duty holiday ended. In February, demand bounced back. Consumer confidence has been buoyed by nine months of rising house prices, and more and more people are considering buying a home. Homeowners have seen their properties reclaim much of the value lost during the downturn. Many who previously delayed see now as the right time to move properties.”