First-time landlord product count grows

People wanting to be property investors for the first time have a growing number of mortgage products to choose from, Moneyfacts analysis shows.

As of February 2022, there are 2,235 products to choose from, a 70% increase from the 1,311 mortgages available in February 2021.

Across the whole buy-to-let market around two thirds (64%) of products are available to first-timers.

It’s a mixed bag in terms of the mortgage rates available for budding property investors.

The average cost of 2-year fixed rates for first-time landlords have risen steadily, from 2.80% in February 2020 to 3.19% in the same month in 2022.

However 5-year fixed rates have gotten cheaper. After rising from 3.31% in February 2020 to 3.66% in one year later, the typical cost has fallen to 3.47% in February 2022.

Considering the Bank of England looks set to raise the base rate this year, it seems some of the best value buy-to-let mortgages are in the 5-year fixed rate category.

Eleanor Williams, finance expert at, said: “The buy-to-let sector has faced its share of upheaval and changes to regulations and requirements in recent years, so it is highly encouraging to see that providers are still keen to attract first-time landlords (FTLs).

“Information from the Rightmove Rental Trends Tracker indicates that rents have risen at the fastest rate on record, while tenant demand has almost doubled.

“Perhaps understandably, some consumers may therefore be considering investing in bricks and mortar, especially while the returns available on standard savings accounts continue to fail to beat the rate of inflation.

“While providers seem to be working hard to cater deals for prospective landlords, those deciding whether this is the right time for them to join the BTL arena might be wise to secure the support of a qualified adviser in assessing their choices and to ensure they are informed regarding upcoming changes to the market and associated risks.

“Careful planning and seeking independent advice could be vital in establishing whether BTL is a viable investment opportunity for them.”

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