Growth on the cards for buy-to-let and remortgaging

Brokers have seen an uplift in buy-to-let sales in the past three months and many are expecting business to increase in the second half of the year.

Research from NatWest Intermediary Solutions, conducted amongst over 500 mortgage intermediaries, also found that many are forecasting a jump in remortgage activity as a Base Rate rise edges closer.

During the second quarter of this year, 60 per cent of brokers said they had seen an increase in customer demand for buy-to-let mortgages with 33 per cent saying that demand had remained stable.

Just 7 per cent had experienced a drop in demand.

The outlook for the rest of the year remains positive with nearly 58 per cent expecting to increase their buy-to-let business while 39 per cent thought it would remain the same with only 4 per cent forecasting a decrease.

Four out of five (82 per cent) of brokers believe that the speculation about a rise in the Bank of England base rate will generate more remortgage enquiries from customers.

More than half of brokers (56 per cent) disagreed with the view that there was a dangerous house price bubble, although 34 per cent supported that sentiment.