UK Finance has just release data on the UK’s largest buy-to-let lenders.
Lloyds Banking Group was listed as the largest buy to let lender within the UK in 2018, with a total exposure of £5.53 billion, equivalent to 13.7% market share.
Lloyds also has the highest amount of mortgage loans outstanding at £50.97 billion in 2018, a market share of 20.3%, which is down from £52.51 billion in 2017 and a 21.8% market share.
Nationwide Building Society was in second position with a market share of 12.4%, representing a gross balance of £31.16bn in 2018.
Barclays came in at third, with a gross balance of £16.53bn representing 6.6 per cent of the market in 2018. Barclays gross lending was up year-on-year, rising from a 5.7 per cent market share in 2017.
Further data by UK Finance shows that in 2018, gross BTL mortgage lending totalled £40.5bn , up 5.5 per cent on 2017.
Specialist lenders saw the highest growth rate in buy-to-let lending at 15% followed by the building societies, many of whom conduct buy-to-let business within specialist lending subsidiaries at around 12%.
Lenders have had to take a more flexible approach to compete within the buy-to-let mortgage sector, with many now processing applications manually (as opposed to an automated process) and products have become more affordable for landlords, even in complex cases where tailored underwriting is required.