Black & White Bridging comment on today's UK Finance Buy-to-Let Lending figures

22 January 2025

Oli Bland, Director of Lending at Black & White Bridging commented:

"The Q3 2024 figures from UK Finance paint a mixed picture of the buy-to-let market. New loans rose by 6.5% year-on-year, and average rental yields increased to 6.93%, reflecting pockets of opportunity for landlords who can navigate the challenges. The North continues to attract investors with its lower entry costs and higher returns, while the growth in fixed-rate mortgages—up 3.3% on the year—shows a shift towards greater stability amidst ongoing economic uncertainty.

“However, the rise in arrears and possessions highlights the pressures many landlords are facing, with increasing costs and policy changes squeezing profitability. While the decline in arrears compared to the previous quarter is a positive sign, it’s clear that the sector remains under strain. For landlords who are prepared to adapt, there are still viable opportunities, but the overall environment requires careful planning and a long-term perspective."