In response to a question from debate chair Vicky Hartley, editor of Mortgage Solutions on the dangers of volume specialist buy to let lending rising again, Smith said: “The fact the market is unregulated doesn’t mean there are any lesser lending standards at play.”
In a Paragon-sponsored buy-to-let panel debate in partnership with Mortgage Solutions, Peter Williams, executive director of IMLA, said: “I would argue many have learnt their lessons and quite simply, many are just not here anymore. You have to understand the returns are better in this market, which makes it an attractive market for lenders trying to repair balance sheets.”
“We are in a transitional period, so the question is how will the industry settle without undue risk?”
John Heron, managing director of mortgages at Paragon said in this era it’s hard to argue against regulation, but added that the case for consumer or landlord detriment doesn’t hold water.
Heron added: “I for one would be very disappointed if the only way to get lenders and brokers to behave is to stand over them with a big stick.”
Click on the screen above to join the rest of part one of our buy-to-let debate, sponsored by Paragon.
For part two of the debate, click HERE.
