The charter is the work of the ARLA buy-to-let panel, which includes lenders from across the mortgage spectrum.
The charter is designed to warn potential investors of the realities of residential property investment. It also outlines the required standards expected from members of ARLA.
John Crossley, chairman of ARLA, said: "In launching this Charter, ARLA has not altered the stance taken from the very beginning. When the Association launched Buy-to-Let, we stressed then that it is neither a quick buck mechanism nor a liquid investment. It is an investment that requires the investor to take professional advice and to have reasonable expectations. Nothing has changed.
"ARLA still believes that there is long-term growth in the Private Rented Sector overall. This growth can, and will, be serviced by the private landlord. These landlords will come into the rental market through the judicious use of buy-to -let mortgages. Fair returns and steady appreciation are most likely to be gained from modestly priced properties. However, areas of investment opportunity should be found within a relatively small radius of most people's homes."
