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Bank of England to get powers to regulate buy-to-let mortgages

November 16, 2016Article by Chelsea Battle

The Bank of England have been granted powers by the government to help protect the financial system from future risks. The BoE will be able to limit loan-to-value ratios on buy-to-let mortgages, as well as the minimum amount by which the expected rental income from from a property must exceed mortgage interest payments.

Buy-to-let properties have been a profitable investment over the years, but have recently become subject to less favourable tax rules and regulation.

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