According to data from Legal & General Mortgage Club, there is an increasing demand among first-time buyers seeking to step into the buy-to-let market.
Its SmartrCriteria tool revealed that an 18 per cent increase in searches for applicants who are first-time buyers, first-time landlords and non-owner occupiers pushed demand for these criteria from fourth place to first during September 2020.
Additional data also showed that holiday lets were the second most searched term among advisers after dropping from the top spot in August, indicating a response to the increase in staycations as a result of the Covid-19 pandemic.
SmartrCriteria figures also revealed a significant rise in the numbers of advisers searching for products on behalf of expatriated clients who are likely making use of the stamp duty holiday.
Search criteria for ‘expat not in UK’ increased by 50 per cent since the start of September, with the majority of searches seeking buy-to-let mortgages.
Kevin Roberts, director at Legal & General Mortgage Club, said: “Despite the impact of coronavirus, we are seeing rising demand across the housing market with buy-to-let in particular enjoying a mini-boom.
“Our latest findings from SmartrCriteria suggest a growing number of first-time buyers are searching for mortgages for buy-to-let ventures, including those engaging with the growing trend towards staycations this year.”
He added: “Amid this continued high demand we are seeing in the mortgage market, thousands of borrowers are clearly turning to independent advisers to help them with their plans and these experts are playing a vital role for consumers.
“There have been thousands of criteria changes since the lockdown and mortgage advisers are supporting seasoned property investors, first-time landlords and other buyers to find lenders and products that meet their needs.”
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The news comes after recent research released by online broker forum cherry and Click2Check revealed a significant increase in buy-to-let purchase activity.