Buy-to-let investors search overseas for good mortgage deals

Posted: 28 Jul 2008 13:20:03 GMT

Buy-to-let investors that are at the top end of the market are looking to overseas lenders to secure more favourable terms on large loans.

That is according to landlordexpert.co.uk, which has said that mortgage brokers have seen an increase in the number of property buyers re-entering the market as "they felt prices did not have too much further to fall".

Lanlordexpert.co.uk has claimed however that tougher lending criteria and funding constraints have narrowed the pool of UK lenders.

Commenting on the situation which has forced borrowers to seek deals outside the UK, Chris Fleming-Brown, managing partner at mortgage brokers Egerton Partners, said: "It's great news for UK borrowers that some foreign banks with strong balance sheets are aggressively competing for high-quality assets."

He continued: "They are taking advantage of the highest pricing levels and most conservative lending terms in the UK market for many years."

A recent survey of buy-to-let landlords by mortgage broker, The Money Centre, found that 82 per cent of those questioned were not planning to sell their existing properties.

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