Investors with buy-to-let mortgages are enjoying a significant boost in income levels, according to experts.

Property portfolio managers Young Group have revealed that those with tracker mortgages have seen their profits rise as a result of falling interest rates.

Following the Bank of England's base rate cuts from 5.5 per cent to three per cent during this year, the buy-to-let sector has been boosted considerably.

Income has risen by £1 billion in line with the cuts, which could also begin to benefit those on standard variable rate deals as lenders begin to pass them on to consumers.

However, chief executive officer of Young Group Neil Young revealed that it is mainly those taking tracker mortgages who were currently seeing most success.

"A significant proportion of investor clients are benefitting from the falling interest rate, typically generating additional annual positive cashflow of around £8,000 each on their London property investments,"he said.

Robert Sinclair, director of the Association of Mortgage Intermediaries, today called for interest rates to be cut by another 100 basis points to two per cent to help keep the UK economy moving forwards.ADNFCR-2002-ID-18910623-ADNFCR

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