Figures reported in a national newspaper state that the total value of outstanding buy-to-let mortgages is at £90 billion.

The report, published in the Guardian has prompted fears that many investors face affordability pressures. The residential letting market is still booming and rental yields are high and still rising, but the high interest rates have led to high mortgage repayment costs in turn. The outcome is of course, lower profit margins, and in some cases investors have bought properties only to find that the rental yields they need to cover the mortgage alone are impossible to get.

Most investors do not suffer this fate, but anyone entering the market at this time must take into account the vagaries of the market and factor in things beyond their control, such a rate hikes. The rising property prices offer relief to those concerned about falling yields however - equity in buy-to-let properties has made some people property millionaires - and the continuing growth of the property market can only help. If prices were to dip significantly this would be a different story - although the general consensus is that the outlook is good for the foreseeable future.

Some research carried out by Hometrack has suggested the obvious solution to getting better yields - look to buy in areas with limited rental supply and high demand where prices can be set a higher rates. Other reports say that the average rents have increased by 7% in the past three months - possibly due to high tenant demand in the buoyant market overriding the effects of interest rate hikes.