Latest News

Landlords mortgage arrears double, new data reveals


Landlords mortgage arrears double, new data reveals By Proactive Investors

Breaking News



Published Feb 09, 2024 09:46

© Reuters. Landlords mortgage arrears double, new data reveals

Proactive Investors – Increasing numbers of landlords are struggling to keep up with mortgage payments, figures revealed on Friday.

In the final quarter of 2023, buy-to-let mortgage arrears more than doubled compared 2022.

This 124% increase has been primarily linked to the burden of high interest rates.

According to UK Finance, there were 13,570 instances of buy-to-let mortgages in arrears; however, the number represents just a small fraction of the nearly two million landlord mortgages in total.

The frequency of these arrears, although mostly of low value, has surged by 18% compared to the preceding quarter.

Graham Cox, a broker at Mortgage Hub, said: “The surge in interest rates has led to either unaffordable refinancing costs or more void periods due to higher rents.

“The situation is particularly bad in London for landlords and tenants alike.”

Repossessions have escalated to levels not seen since the onset of the pandemic, as reported by UK Finance.

The situation is exacerbated for those with interest-only buy-to-let mortgages, which account for more than 80% of the market.

Meera Chindooroy of the National Residential Landlords Association noted that the rising mortgage rates have pushed many landlords to exit the market, further intensifying the rental housing shortage.

Read more on Proactive Investors UK


Landlords mortgage arrears double, new data reveals

Our Apps

Terms And Conditions
Privacy Policy
Risk Warning
Do not sell my personal information

© 2007-2024 Fusion Media Limited. All Rights Reserved.

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.

FTSE 100 Live: Stocks creep higher and Tesco gains on banking sale

Previous article

1 Magnificent S&P 500 Dividend Stock Down 36% to Buy and Hold Forever

Next article

You may also like


Leave a reply

Your email address will not be published. Required fields are marked *

More in Latest News