Is Now The Ideal Time To Expand Your Property Portfolio?
29th May 2015
It is an interesting time in the Buy To Let market, with more and more people quite happily identifying themselves with Generation Rent and a shortage of properties for 1st Time Buyers, there is more demand than ever on the Private Rental Sector to satisfy these needs, especially in busy areas such as London.
What is more, mortgage lenders have also recognised that Buy To Let is an area that they want to get involved in, with traditional mainstream lenders joining the specialist Buy To Let lenders in order to get a slice of the action. They have also been joined by a plethora of new lenders queuing up to get into the Buy To Let lending arena.
This has led to more competition, more choice for landlords and has also helped to push the cost of Buy To Let products to new lows.
As a result, we are once again seeing professional landlords with large portfolios looking to unlock equity and begin to buy further properties.
In this area, having the knowledge of all lenders in the market, as well as some more interesting lenders who are not publically available, can make all the difference.
For us, it is all about successful forward planning and different lenders and products will be more suitable dependent on your long-term aims.
Whether this is to grow a portfolio, to obtain short-term capital growth or long-term income supplement, it is important to weigh up all the options with an independent professional. Low rates may seem attractive, but a plethora of fees and reversion rates can come back to bite.
Ensuring your property portfolio is constructed as efficiently and cost-effectively as possible, is of paramount importance.
Growing Your Portfolio
For experienced landlords, or if you have a large property portfolio, actively managing your portfolio to ensure you have the right rate on each property, or are able to gear up and release equity for future purchases is of vital importance when looking to grow.
It may be possible to agree a credit line or facility for you to buy additional properties quickly and cheaply, making the most of rental and capital growth opportunities.
In the Buy-To-Let market there are often Exclusive Products and Pilot Schemes available through certain brokers that are not available to the wider market. What is more, new lenders often contact us to help launch their new offerings, giving our buy-to-let landlords a head start.
Properties & Service
Whether the properties are old, new, in need of refurbishment, ex-local authority or bought off-plan, there are products available to suit all circumstances.
Many of our clients have extensive UK, European and global property portfolios, containing tens, hundreds or even thousands of properties.
The good news is that potentially you can secure mortgage funding in a very short time period, sometimes within 48 hours. This appeals to professional landlords and property investors who enjoy the increased flexibility it brings to their portfolios.
For landlords with portfolios of a certain size, the line often blurs between residential investment and commercial financing, whether it is developing a site, converting a property into flats or even building from scratch.
Getting the right advice in this area of the market is just as critical and can often mean the difference between turning a healthy profit or not.
Complex Requirements & Large Loans
Many landlords have a need for more bespoke lending and there is no financing too big or complex. Lending is available for multi-million pound transactions, loans in company names or trusts, both onshore or offshore.
This is Bow, he’s a plucky little Boston Terrier and knows a thing about mortgage applications. His owner, Patrick, is one of our clients and Bow here helps with his paperwork. If there’s anything you need to know about mortgage applications or the paperwork entailed then check out our advice hub – it has everything you need!View the mortgage guides
Andrew Montlake, Director and Spokesperson for Coreco, gives his honest and forthright views on the mortgage market, economy and all things property related. Monty was voted "Mortgage Personality of the year 2008", "Best Press Spokesperson" in 2011 and is the current holder of the British Mortgage Awards “Best Marketeer” title. Expect expert analysis, delivered in a down to earth style with a side helping of exuberance.