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What Is Buy To Let?

Buy to Let is an initiative devised by the Association of Residential Letting Agents (ARLA) in conjunction with a number of mortgage lenders.

It allows private individuals to purchase property to rent out, taking advantage of the low interest rates now available, with a reasonable expectation of capital growth over the coming years.

Historically mortgage lenders looked only at a borrower's earned income when making lending decisions. Many mortgage lenders now take account of the rental income likely to be achieved from letting the property when deciding whether to lend money to an investor, as well as offering competitive rates of interest not previously available.

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