Michael Aglony's Property Blog Archive: Buy to let

02, 2008 December:

The return of Buy to Let as a commercial transaction

When the Buy to Let mortgage market started in the early 90's, Loan to Values were at a maximum of 75%, underwriters made decisions to lend based on the overall viability of the transaction and commercial rates were charged.

11, 2008 December:

LIBOR, SWAP rates, base rate and interest rates - we're seeing history being made - 11.12.2008

The Bank of England's decision to further reduce Bank Base Rates (BBR) in December, to rates not seen in over 50 years, demonstrates the analysts view of the severity of the current economic turmoil. Whilst we don't appreciate it at this time, history is being made and events now will be talked about long after we are gone.

16, 2008 December:

3 month LIBOR continues to ease slowly - 16.12.2008

There will be a limit to its downward movement towards the end of the year as those banks with 31 December year ends preserve cash on their balance sheet and let creditors rise accordingly.

19, 2008 December:

Merry Christmas and here's to a better 2009!

Base Rate is set to continue to fall in the New Year. What options are available for the professional landlord?

30, 2008 December:

Market awaits Year End movements at Banks

3 month LIBOR continues its downward drift - setting today at 2.82% - still a significant premium to Bank Base at 2%

08, 2009 January:

Bank of England Base Rate cut by 0.5%. How will this effect Buy to Let? - 08.01.2009

So, the Bank of England has announced a further 0.5% cut in the Base Rate. Rates are now at their lowest for 300years and could still go lower.

13, 2009 January:

SWAP rates and LIBOR rates on the move in 2009 - 13.01.2009

The entry into the New Year was no doubt followed by many with a New Year's resolution on how to improve their lot in life and a glass or two, to bid fairwell to a truly awful 2008.

Mortgage Express are waiving all Early Repayment Charges!

Mortgage Express are waiving all Early Repayment Charges for Residential and Buy to Let mortgages between February and June 2009!

22, 2009 January:

It's all about cashflow!

These are tough times and as the recession takes hold many of us are now looking at ways of tightening our belts further...

23, 2009 January:

Will Base Rate stay below 5% in 2009?

2009 is shaping up to be an interesting year, but hopefully not for the same reasons as 2008. The actions by the Bank of England and other Central banks has been to attempt to stabilise the global markets and right some of the wrongs in recent years.

29, 2009 January:

It looks like Bank of England Base Rate could drop to 1% next week

The next MPC meeting on 4 February with its announcement on 5 February is heading towards a 0.5% cut in Bank of England Base Rate (BBR) down to 1%.

30, 2009 January:

B&B appoint Mortgages for Business for early repayment charge clients

At Mortgages For Business we are delighted to have been appointed as one of two brokers to assist Mortgage Express borrowers looking to take adavantage of the Early Repayment Charge waiver if borrowers redeem their loan in part or full between 1 February and 30 June 2009.

03, 2009 February:

Bank Base Rate now seems set for 0.5% cut on Thursday

Continuing economic woes and global concern that cuts in BBR are not the only solution make it much more likley that BBR will move down by 0.5% to 1% on Thursday.

08, 2008 December:

Base Rate reduced to 2%

So Base Rate has been cut by another 1%. Bearing in mind Mervyn King's comments earlier in the month, the reduction is no real surprise and is confirmation (as if we needed it!) that we are heading for tough times in 2009.

19, 2009 February:

Will everyone benefit from the 0.5% Base Rate cut?

Media and politicians focus on residential mortgages when Bank Base Rate (BBR) is cut as that is the point of maximum impact on individuals and ultimately where votes in the next general election will be won or lost.

25, 2009 February:

Northern Rock resumes lending - what will be its impact?

The announcement that Northern Rock is to resume mortgage lending (£14Bn by the end of 2010) is welcome for the mortgage market as a whole but will probably only drive indirect benefit for the Buy To Let sector.

11, 2009 March:

Now that Base rate has dropped to 0.5% it's time to fix!

The Base Rate cut will of course continue to improve the cash-flow of those borrowers on Base Rate linked loans (without collars!) but unlikely to have much of an affect on new mortgage products.

18, 2009 March:

The Turner Review may impact Buy to Let warns Lord Turner

In the new Turner Report changes may be proposed to the treatment of second charge and Buy to Let mortgages.

03, 2009 April:

As the market bottoms out, now is the time to secure that property bargain - 03.04.2009

Previoulsy we set out to explain the differences between some of the leading house price indices on the market. At that time The Halifax HPI had just posted a month on month increase of 1.9% whereas the Nationwide HPI indicated drop of 1.3% (in line with most of the other indices published). Well guess what...

09, 2009 April:

Base Rate remains unchanged at 0.5% - 09.04.2009

As expected, the Bank of England have kept Base Rate on hold at 0.5% this month, halting the steady trend of reductions over the last few months. With the MPC's ammunition more or less spent in this area, all eyes are now on the Bank's Quantitative Easing programme designed to stimulate the much need liquidity into the market.

07, 2009 May:

Base Rate stays at 0.5% for a second month - 07.05.2009

No surprise that the Bank of England have kept Base Rate at 0.5% for another month. Time will tell whether the Bank's Quantitative Easing programme will have the desired effect...

22, 2009 June:

Increase in fixed rates as "perceived" inflationary pressures start to build. 22.06.2009

Mervyn King hinted in his Mansion House speach last night that there were some signs that quantitative easing was starting to work and that the £125Bn injection may be sufficient - I really hope so !!

23, 2009 July:

At last - Funding for HMOs, Freehold Conversions & Limited Companies returns! 23.07.2009

We at Mortgages for Business have been aware for some time that many landlords and property investors have been struggling to find finance for certain property types e.g. HMOs and Freeholds split into several self-contained units...

10, 2009 September:

Improved Funding for landlords

The re-launch of Base Commercial as Aldermore Bank following the acquisition of Ruffler Bank is starting to bring benefits to landlords with Buy to Let and residential investment properties.

30, 2009 September:

Data indicates property market progress!

Not only does mortgage data point to an improving position on purchases but the first RMBS issue (£4Bn) in Europe in 13 months has taken place - issuer Lloyds !!!

25, 2010 February:

So what's next after Base Rate is held at 0.5% again?

So where will Base Rate be at the end of this year?

Subjects Covered by Michael Aglony