Back in September 2009, there were only 179 mortgage choices – down considerably from the massive 3,662 deal options on offer in August 2007. But according to research by financial group, MoneyFacts, the mortgage market has taken a turn for the better, with a rise up to 304 mortgage options for investment landlords.

It’s still nowhere near the choices available in 2007, but given the low levels we’ve seen in recent years, it’s a significant improvement. What’s more, the choice of mortgage options available for landlords has increased too, opening up more potential for landlords who only have small deposits available.

Making a welcome return are 80% and 85% mortgages, plus the average interest rate on a two year fixed rate loan has dropped from 5.96% to 5.66%. It’s all good news for the buy-to-let market, which is picking up well after being hit by the recession.

However, not everyone is getting too excited quite yet. It’s not yet clear whether or not the new government will be making changes to capital gains tax. If it is increased – and some predictions are suggesting that it could rise to as much as 40% on non-business assets, such as buy-to-let properties – then it could have a bit of an effect on the buy-to-let market.

Pay your credit card bill in full each month

One of the issues your credit score is ranked on is how efficiently you pay off your any existing credit, such as your credit card bill. Paying the full amount off each month, and doing so on time, will help boost your credit rating and show that you’re responsible with the money you have.

If you’re prone to forgetting to pay your bill on time, or are frequently travelling when the bill arrives, then the easiest way of paying it off on time every month is to set up a direct debit payment for the full amount.

Likewise, it’s best not to spend over your credit card limit, as it gives the impression that you can’t live or spend within your means.

Get listed on the electoral roll

Being listed on your local electoral roll can play a positive part in helping you get credit. If you’re unsure if you’re listed, contact your local council to check and, if your name isn’t down, get it on the list. Although the council do send out forms about once a year, if you’re keen to get going with improving your credit rating, it’s better to get on with it, rather than wait to be asked.

Space out applications for loans

If possible, try not to apply for lots of loans or credit at once, as details of all your applications will come up in your credit rating file and it can affect your score. This covers anything from mortgage loans and car insurance, to credit for buying large electrical products or mobile phones.

Maintain a fixed address and phone number

Having a fixed home address and a home phone number, rather than giving a mobile number, can also boost your credit score. If you have moved house a lot in recent years, then don’t try and hide it – be honest about your previous addresses.

According to research carried by The Paragon Group, professional landlords are reporting that buy-to-let mortgages are becoming difficult to obtain.

The findings arouse after Paragon’s recent Trends research, which involved a panel-based survey of UK landlords. Over half of the professional landlords taking part in the research (54%) had attempted to obtain a buy-to-let mortgage in the three months leading up to the end of August 2009, either for buying a new property purchase or for remortgaging purposes.

Of those 54%, nearly nine out of 10 commented that it was more difficult to secure a buy-to-let mortgage than it previously had been.

Nearly one in 10 (8.4%) people said they’d not noticed any change in the availability of buy-to-let mortgages and 2.8% said they’d found it slightly easier to get a mortgage.

The number of buy-to-let mortgage options available has dropped slightly from May 2009, from 218 to 196, but they’re certainly not unobtainable.

One of the advantages of buying property from HBF Investments, compared to on the open market, is that there are dedicated panel brokers at hand to help you get the best mortgage deal.

If you’re going to purchase an investment property with HBF Investments, you’ll be registered with a panel broker, who’ll quickly and efficiently check out the latest mortgage deals and help you find the best option for you.

At a time when the number of available buy-to-let mortgages seems to have decreased, it’s even more helpful to have such an individual, tailored option available.

The figures from the CML showed that house purchases accounted for 56,000 loans totalling £7.5bn. This was a +24% increase on June 2009 and a +19% improvement on July 2008.

Whilst the majority of lending was focused on home movers and remortgages, there was an +18% increase in loans to first-time buyers in comparison to the previous month, and this was a +22% increase from July 2008.

Paul Samter, a CML economist, said: “ There is certainly concrete evidence that lending for house purchase is increasing, but t he overall lending picture is likely to stay relatively subdued for some time, especially as the wider economy is far from robust as yet.”

source: www.property-investor-news.com