Buy-to-let lending continues to increase after a severe decline in the first half of 2009, new figures show.
Chris Marshall, www.citywire.co.uk – 11 February 2010
While new lending rose for the second consecutive quarter in the last three months of 2009 – with 25,800 new loans in Q4 compared to Q3’s 23,700 – this was from a low base.
Michael Coogan, director general of the Council of Mortgage Lenders (CML), which produced the figures, said this was ‘below the level of activity which is needed to enhance a vibrant private rental sector in the UK’.
He warned of the impact of new proposals that could see the Financial Services Authority regulate the buy-to-let sector: ‘We are concerned that future, wrongly directed, regulation may actually prevent buy-to-let playing its vital role in providing good quality homes and wider housing choices for people who cannot afford home ownership or do not qualify for social housing.’
