BUY TO LET MARKET SUMMARY

 

Period   Mortgages outstanding at end of period   Mortgages outstanding at end of period   Mortgages outstanding at end of period   Gross advance in period   Gross advance in period   Gross advance in period   Mortgages 3+ months in arrears   Maximum LTV   Minimum rental cover     Aggregate loan ceiling to individual investor
    Number   £m   % of total by value   Number   £m   % of total by value   % of all mortgages   %   % of rental income   £
1999: H1   58,800   3,600   0.8   21,800   1,500   2.985   0.45   75   130   600,000
H2   73,200   5,400   1.1   22,600   1,600   2.5   0.50   75   130   600,000
2000: H1   89,000   6,600   1.3   21,300   1,700   3.0   0.39   75   130   1,000,000
H2   120,300   9,100   1.7   27,100   2,200   3.5   0.47   78   130   500,000
2001: H1   144,700   11,300   2.0   30,700   2,800   3.9   0.55   80   130   500,000
H2   185,000   14,700   2.5   41,500   4,100   4.6   0.55   80   130   500,000
2002: H1   232,900   19,100   3.1   58,700   5,500   5.7   0.43   80   130   750,000
H2   275,500   24,200   3.6   71,300   6,700   5.4   0.40   80   130   750,000
2003: H1   332,500   31,000   4.3   74,600   7,600   6.2   0.39   80   130   1,000,000
H2   417,500   39,000   5.0   113,000   11,600   7.5   0.33   80   130   1,000,000
2004: H1   473,200   46,800   5.7   119,900   12,000   8.3   0.37   80   130   1,000,000
H2   576,700   56,900   6.5   106,700   10,700   7.3   0.54   80   130   1,000,000
2005: H1   630,100   63,200   6.9   93,000   9,900   7.8   0.70   80   130   1,000,000
H2   699,400   73,100   7.6   130,000   14,600   9.0   0.65   85   125   1,000,000
2006: H1   764,900   83,600   8.2   151,900   17,400   10.9   0.64   85   125   1,000,000
H2   846,900   94,400   8.8   177,200   20,800   11.2   0.58   85   125   1,500,000
2007: H1   938,500   107,800   9.5   171,800   21,200   11.9   0.63   85   125   2,500,000
                                         
Source: CML Research

 

1. There is a step change in the H1 2005 figures as a big lender submitted data for the first time. Hence, comparisons between H2 2004 and H1 2005 cannot be made on a like for-like basis. Lending figures are otherwise grossed up to ensure figures are compatible across periods.

2.The CML has estimated lending data where a lender has not reported figures in a particular period.

3.Underwriting criteria represents the median average of the individual limits applied be lenders.

4. Results may be compared over time but care should be taken with pre-2000 figures.