Buy to let mortgage policy changes 2016.
There will be big changes to buy to let mortgage policy next year. The Financial Policy Committee is asking for increased powers to take action against risky buy-to-let lending.
The FPC wants to be able to direct regulators to force lenders to limit BTL mortgage LTV and interest coverage ratios. The Committee proposes that it could use its powers to enforce limits, if it felt that lending posed a risk to the stability of the mortgage market.
Earlier this year the FPC was given powers to limit risks in the residential mortgage market, and now it wants the same powers over the buy to let sector.
For would-be buy to let investors looking to become landlords, the advice is to act soon because from March next year, buy to let investment will get more costly. This is due to the fact that stamp duty is set to increase and tax relief on mortgages will change.
Before this sector experiences increased regulation, get yourself a mortgage by calling Deal Direct. We have vast experience successfully sourcing competitive buy to let mortgage offers.
Please note we are regulated to offer mortgage advice and not financial advice. To find out if buy to let is the right investment for you, call an independent financial adviser. Also be aware that not all buy to let deals are regulated by the FCA.
For advice and a quote call us today.
0800 048 8828
