Entering the buy to let market harder than ever

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A report released by RICS (Royal Institute of Chartered Surveyors) this month details how buy to let investors are now required to fork out up to 30% of a property’s value in order to satisfy mortgage lenders’ stringent borrowing criteria. In comparison, 2002 levels were only 8% of the property’s value – around £10,100 at the time. Now wannabe landlords are estimated to require a £65,000 deposit in order to secure a home based on the average priced property in the UK. Due to this tough entrance criteria, RICS have estimated that there will soon be a slowdown in the number of new investors entering the buy to let market.