With many two year fixed rates coming to an end within the next few months, tens of thousands of landlords may run in to difficulties in remortgaging.
This large number of landlords needing to remortgage is due to the amount of two year rate deals that were fixed in March 2016.
This was due to the wish to avoid the 3% surcharge on buy-to-let and second home purchases that came in to place in April 2016.
Refinancing these deals will be necessary to avoid being automatically moved to the lender's standard variable rate, which will be higher than the 2 year fixed rate mortgage that is about to expire.
According to Ray Boulger of mortgage brokers John Charcol: "There is now much stricter mortgage regulation in place than two years ago. If you borrowed close to the maximum loan-to-value two years ago, then you are going to face much stricter lending criteria, which includes greater affordability tests."
It can take a few weeks to complete a remortgage, so if you need to do so, it's best to act fast.
If you are looking to remortgage, contact Westminster Wealth Management today. Our Mortgage team here at Westminster Wealth can ensure that you receive the most suitable mortgage for your personal circumstances, needs and objectives. Contact us today.
Your home may be repossessed if you do not keep up repayments on your mortgage.
Our charges are usually between £395 and £995 depending on the type and amount of borrowing required and individual circumstances.
Buy-to-let landlords face mortgage crunch as tens of thousands will struggle to get a new deal this spring