Buy To Let
Investing for income, property growth or for planning for retirement!
You want to be a landlord or you may have a property that you live in that you want to keep, let it out and move into a new home for yourself. Then a buy to let mortgage is what you’ll need. It’s a great way to earn an extra income.
Buy to let mortgages have changed over the years and you will need to know about recent changes but that’s where we are experts and here to help.
There are many ways the lenders assess buy lets and are very different to how residential mortgages are assessed. Typically, lenders look at the rental income of the property, your tax rating, the mortgage product term, stress rating, the interest rate and portfolio size.
Key considerations you should find out
Where is good to invest? Speak with a few local estate agents for advice on the property type and location.
What is the rental income you’d expect from those properties? Most mortgage lenders require the rent to exceed the mortgage payments and depending on your tax status, could want it to exceed by up to 145% and stress the mortgage interest rate at around 5.5%. This is not all lenders and just an example. Speak with an accountant or tax adviser as to whether to look at purchasing the property in your personal name or through a limited company.
What do you want to get from your investment property?
Is it to boost your income or long term growth or a little bit of both?
Lastly what to do is: Talk to me!
Get a profession mortgage brokers opinion and we will discuss your options on what you can and cannot do to give you all the tools you need to get what you want out of your investment.