Landlords are spoilt for choice, having seen the number of buy to let mortgage products increase by 8.8 per cent in the past three months this.

Octane Capital analysed the number of mortgage products currently available across the market and how the level of product availability has changed for each type of mortgage. 

The research shows that: 

·         Landlords have seen the biggest boost to mortgage product availability. In the last three months, the number of BTL mortgage products has climbed by 8.8 per cent to a current total of 1,889.

·         First-time buyers, by contrast, face the toughest challenge securing a mortgage in the current market. Octane  found that there were just 595 mortgage products currently available to first-time buyers, accounting for just seven per cent of total mortgage products on the market. 

·         The FTB number has reduced by 3.4 per cent in the last three months alone, the largest reduction of all mortgage product types. 

·         Existing owners moving home have also seen the number of mortgage products available to them fall over the last three months, down one per cent and accounting for 35 per cent of all mortgage products. While this is the second smallest proportion of total products available, they are benefitting from a significantly higher level of choice compared to first-time buyers, with some 3,000 mortgage products available to them. 

·         Those looking to remortgage are benefitting from the greatest level of choice at present, with this number having increased by one per cent since October, accounting for 37 per cent of total products. 

Octane chief executive Jonathan Samuels says: “There has been a growing level of buyer confidence since the Bank of England held the base rate for a third consecutive time in December.

“That said, while the general expectation is that interest rates will fall this year, many lenders are continuing to tread with caution and this is why we’ve seen a reduction in the number of mortgage products available to both first-time buyers and home movers. 

“This is because those looking to buy for the first time, or borrow more to move further up the ladder, are often more susceptible to the potential affordability issues caused by higher mortgage rates.

“However, this reduction in product availability hasn’t been seen across the entire sector and buy to let investors, in particular, are currently benefiting from an increased level of choice when borrowing.”