Lending for buy-to-let increased in October with 16,200 buy-to-let loans advanced, which was up 11% in volume compared to September. The value of these loans totalled £2.1bn, which was an increase of 10.5% from September.
Buy-to-let lending for house purchase also grew in October to 8,500 loans advanced, which was an increase of 11.3% compared to September. The loans totalled in value £1bn, an increase of 14.9% compared to September.
Buy-to-let remortgage lending also increased in October, up 11% compared to September. This totalled 7,600 loans advanced for buy-to-let remortgages which had a total value of £1.1bn, an increase in value of 11% compared to September.
David Whittaker, managing director of Mortgages for Business, said:
“Over the course of 2013 the property market has gradually picked up speed. Demand is ticking upwards steadily, and this is good news for every aspect of the property industry. Supply from new building projects is taking longer to respond but the incentives are here and activity across the board is going in the right direction.
"Landlords in particular have benefited from lower mortgage rates than a year ago – and as the financial world gains confidence in the recovery the availability of more complex buy to let finance is steadily rising too. In 2014 I expect finance will become easier to access and more flexible, while demand for property seems set to keep on growing.”
