A massive step was taken last week with a lender going back towards the higher LTV lending, with an 80% LTV product for buy to let.

This is yet further evidence that the mortgage market continues to recover and with 2 lenders due to enter the market over the next few weeks, the future for Buy to Let investors is bright!

Since the credit crunch, Buy to Let mortgages have been generally limited to 75% Loan to Value with only the most straight forward, low risk applications succeeding at this level. Many portfolio landlords have been unable to expand as they have already reached their maximum with the mainstream lenders and will welcome the news that alternative options at higher Loan to Values are becoming available.

So overall this seems a good thing?

Well two ways to look at this - it certainly shows the lenders have similar confidence in the market to myself and many other investors ie prices have stabilised, and as we have seen have managed to rise even without much lending out there! As long as the properties they lend on have a strong rental coverage ie generally properties under £100,000, then the lenders should be fine to lend.