Saturday, February 9, 2008
Fitch Ratings highlights the danger of the buy-to-let market
Fitch research reveals high regional concentration of buy-to-let loans which it says leaves such areas vulnerable if a recession occurs and results in mass selling. For example, London and the South East account for nearly 35% of all buy-to-let properties in the UK. If a sell off were to take place the value of properties in the region could plummet exacerbating existing house price issues and further affecting confidence and market deterioration.