We all know how the temporary rise in the stamp duty threshold has accelerated activity throughout the housing market. Whilst many headlines have focused on the rise of first-time buyers for homeownership purposes, recent data from Legal & General Mortgage Club suggested that there is also heightened demand from first-time buyers looking to enter the buy-to-let sector. Searches made by advisers through its sourcing tool showed that the criteria search combination for first-time buyer, first-time landlord and non-owner occupier has seen an 18% increase since the beginning of September.

According to the research, ‘holiday lets’ (such as AirBnB style ventures) was the second most searched term among advisers in September, moving from the top spot in August. International travel restrictions have fuelled an increase in demand for ‘staycations’, with many choosing to holiday in the UK rather than travelling abroad.  The figures also revealed a jump in the numbers of advisers searching for products on behalf of expat clients. Search criteria for ‘Expat not in UK’ increased by 50% since the beginning of September, with the majority of searches looking for buy-to-let mortgages.

When summing up this data, the phrase BTL ‘mini-boom’ was used and this has been reflected in rising demand and activity seen here at Dynamo in recent weeks across the buy-to-let sector. The value of the advice process has also risen sharply over this period as lenders – not only those operating in the BTL sector – are repricing, implementing criteria changes and some are even introducing limited windows of opportunity for borrowers to secure certain product types. This is leading to an increasingly complex marketplace which is placing an even greater emphasis on the value attached to good, professional advice for all types of borrowers from seasoned investors though to first-time landlords.