According to the ratings agency Standard & Poor's, buy-to-let mortgages are in higher arrears than prime mortgages, and that number is set to increase.

S&P says the sector has been rising on the back of more unaffordable mortgages from 2006 and 2007 – its study says mortgage criteria eased up, and more people got hold of mortgages they may not have been able to afford. Now many landlords are struggling.

The rating agency studied around 200,000 securitised buy-to-let loans, which is approximately one fifth of the buy-to-let market. It found that arrears were 3.7 per cent at the end of June – almost treble the industry average.

S&P estimates that as many as 40 per cent of buy-to-let properties could fall into negative equity by next year. This of course does not affect a landlord’s ability to pay his or her mortgage, but it is a blow to the investment.

This study fails to mention that there are many things that can be done to avoid arrears. Talking to an adviser is the best start – they may be able to help you remortgage, take out a loan or even sell the property if needs be. The main thing is that you do not fall into arrears – which could affect you for years to come.

To keep up with the latest News and comment on the UK buy to let market visit the Buy to Let Mortgage Blog

Rod Kent, former chairman of nationalised bank Bradford & Bingley, said the B&B board was "massively sorry" for the bank's collapse in September.

Landlords are having to reconsider the size and breadth of their portfolios as more mortgage loan to values become harder to attain.

News from the BBC has found that less than 100 mortgages remain that are available for those that have 10% or less of the property’s worth available to spend. That means deals that allowed landlords to increase their portfolios quickly with high LTVs are over.

And that’s tough for those looking to cash in on the house price slump – great deals are to be had and people are begging for property to rent. But they cannot get off the starting blocks thanks to buy to let mortgage lenders demanding 15% or 25% of the property’s worth.

There are options though – buy to let landlords can use secured loans to find quick sources of revenue. They can use bridging loans or they can even use their equity to help extend properties, not buy more.

Right now landlords are in a great position, but one that cannot be taken advantage of by spending more and more. Currently prudence is key – take advantage of what you already have as a buy to let investor and get through the tough times.

To keep up with the latest News and comment on the UK buy to let market visit the Buy to Let Mortgage Blog

How do you know when borrowing against rental property for home mortgage is a sensible move? The practice has been around for some time. Let to buy allows people to rent out their existing property and buy a new one to move to and it can be an appealing option if you don't want to or can't get rid of your existing home. Think of the positives – you will be able to sell your old home to tenants like no-one else, as you will know all the advantages. And you are likely to be able to get a large loan as you will have some equity in the property.

Learn more about Borrowing Against a Rental Property For A Home Mortgage

Chancellor Alistair Darling has told banking chiefs to pass on the interest rate cut to customers "as quickly as possible".

Brown Tells Banks: 'Pass On Cut'
Prime Minister Gordon Brown has joined the Chancellor in urging Britain's banks to pass on the 1.5% interest rate cut to customers in full.

Banks are under growing pressure to pass on yesterday's massive 1.5% interest rate cut to their customers.

Some 1.2 million households could fall into negative equity if the housing slump continues, the Bank of England said on Tuesday.

There are constant changes in the buy to let mortgage market and it has exploded since the first mortgages under the buy to let badge in the 1990s. The advent of buy to let mortgages meant that people could borrow money for property investment at rates that were much less than the commercial rate. The buy to let mortgage market has also changed in terms of the number of lenders. It started with just six offering buy to let mortgages – now there are dozens of lenders and deals. Loan to values and expected rental cover have changed a lot within the last ten years too.

Read more about the Buy to Let Mortgage Market

Mortgage approvals are still running at less than half the level of this time last year, according to the British Bankers' Association.

Houses in multiple occupancy have special rules when landlords are investing in property. The government has changed the way these are regulated so there are special conditions that landlords need to comply with. There are also certain licensing regulations in each local authority. Increased regulation has meant that many landlords now have fewer HMOs which are the kind of properties usually rented by students. In addition, some landlords are turning down investment in properties which meet HMO criteria. All of this means that there is much more to consider for landlords who wish to invest in student property as there is additional cost in refurbishment.

Learn more about Investment in Properties and HMOs