We need a government that will stop doing this

Mortgages for homeowners and buy-to-let landlords could become more expensive under new rules being imposed by international regulators, an industry trade body has warned. The Council of Mortgage Lenders (CML) said the global rules were likely to have “unintended and negative consequences” for buy-to-let borrowers and those borrowing to finance the purchase of their own home. It warned that the Basel committee on banking supervision – which sets rules to be adopted by national banking regulators – could require read more

Raises in tax killing off the BTL market

The number of buy-to-let mortgages rocketed by 22% in January compared with the same month in 2015, as landlords rushed to beat forthcoming tax changes. Around 9,500 loans were taken out by buy-to-let borrowers in January, compared with 7,800 in January 2015, according to the Council of Mortgage Lenders (CML). The total amount borrowed rose by 40% year-on-year to £1.4bn. The figures are the latest to show a surge in interest from investors ahead of the coming stamp duty hike on second homes. From 1 April, they will read more

Nat West making it easier to get a mortgage

One of Britain's largest mortgage lenders has adjusted the ratio it uses to decide on loan applications, with brokers predicting rivals will follow suit. NatWest has lowered its loan-to-income ratio (LTI) requirement for mortgage borrowers to 4.45, from 4.75, for borrowers offering deposit of between 15pc and 25pc. The multiple of salary applies for both single and joint earners. Experts say the lender is rebalancing its loan book because of the high number of mortgage borrowers on lower salaries at a time when house read more

Self-certification mortgage lender selfcert.co.uk has responded to the FCA's self-cert mortgage warning, arguing that "there is no evidence Self Cert products caused any more harm than any other mortgage product available in the UK". It disputed the FCA's claim that all firms offering mortgages in the UK (including EEA firms) will have to comply with the Mortgage Credit Directive, which requires a thorough affordability assessment based on information that has been verified by the lender. selfcert.co.uk read more

http://mortgageinformationcentre.co.uk/2471-2/

Government screwing around with the housing market. AGAIN!

Changes to buy-to-let taxation brought about by the Chancellor's ambitions to create a 'nation of homeowners' could end up hitting prospective first-time buyers the hardest, Tony Ward writes. The proportion of landlords hoping to sell in the next 12 months has more than doubled since July from 7% to 19%, according to a recent survey published by the National Landlords Association (NLA). The research found that if landlords followed through on their intentions there would be a dramatic sell-off of 500,000 properties read more

SIZE of the prize

A lack of commercial gains to be made from supporting older borrowers is preventing the bigger lenders from innovating in the sector, the BSA’s Paul Broadhead says. Broadhead, who is head of mortgage policy at the Building Societies Assocation (BSA), said with lending to older borrowers still a niche product area, larger lenders would need to justify the extra investment in staff and processes required to service these customers. In November the BSA launched a 12 month review on older borrower restrictions which read more

More Drama With Tax and BTL’s

In a response to the Treasury’s consultation paper into the higher SDLT charges, the specialist lender said the changes risk affecting those who cannot afford to or choose not to buy a residential property. The lender argued that a smaller supply of properties in the private rented sector (PRS) would drive up rents and limit choice for tenants. “Whilst we agree that support for home-buyers is an important strand of housing policy, if the interests of home-buyers are prioritized above the interests of those in the read more

New BTL Tax could be illegal

A report by The Daily Telegraph states Blair and human rights lawyer Adam Smith-Anthony have sent HMRC a letter outlining the points of their legal challenge. Acting on behalf of private landlords Steve Bolton, founder of Platinum Property Partners, and Chris Cooper, Blair’s firm Omnia Strategy argued that individual landlords are being treated differently from their corporate counterparts. The Chancellor’s changes, announced during his Summer Budget, will see landlords taxed on their turnover rather profit. The read more

To Track or Not to Track? That is the Question!!!

In late 2015, it looked to be wise to lock yourself into a fixed rate mortgage, with the looming prospect of a Bank Rate rise. But gloomy economic data from around the world has quashed the prospects of rising rates. In fact, market indicators suggest that Bank Rate will remain at 0.5pc until early 2017. • Latest interest rate predictions and what they mean • Best fixed-rate mortgages: two, three, five and 10 years • Calculator: the impact of rate rises on your mortgage For mortgage borrowers the read more

Landlords Beware. Better check those immigrants B4 letting

Landlords will have to start checking passports and visas of new tenants from Monday February 1 as "right to rent" legislation comes into force. Families taking in lodgers also have to make sure the person has the right to live in the UK. Fines of up to £3,000 apply where tenants are not entitled to live in Britain. The legislation, which came in under the http://www.telegraph.co.uk/finance/personalfinance/investing/buy-to-let/12124995/Buy-to-let-warning-Immigration-checks-apply-from-February-1.html Act 2014, is read more