Tuesday, January 9, 2007
Buy to let ‘rules’ ripped up
GMAC-RFC has unveiled a new buy-to-let tracker that it predicts will force other lenders to compete, or risk losing market share. The lending giant has launched the product in response to the widening gap between purchase prices and achievable rents, which GMAC-RFC says is increasingly becoming a problem for landlords. The buy-to-let product offers investors a lower rate of interest than competitors and existing products in the market, and requires 27% less rental income enabling the landlord to purchase or remortgage more properties with GMAC-RFC.