Whether you’re a first-time landlord, looking to add another property to your portfolio or simply remortgage a buy-to-let property- You’re in the right place!
We can help you find the right buy-to-let mortgage, with expert guidance and support every step of the way.
A buy-to-let mortgage is designed for people who want to buy a property to rent out or build a property portfolio.
The right buy-to-let mortgage will depend on your circumstances, the rental property you’re looking to buy and the property’s potential rental income.
Buy-to-let mortgages are similar to residential mortgages but with some key differences.
Fees are higher: The fees associated with buy-to-let mortgages are typically higher than those for residential mortgages. This is because lenders view buy-to-let mortgages as riskier, as there is a greater chance that the borrower will default on the loan if they are unable to find tenants.
Interest rates are higher: The interest rates on buy-to-let mortgages are also typically higher than those for regular mortgages. This is again because of the increased risk involved.
Minimum deposit is higher: The minimum deposit required for a buy-to-let mortgage is usually 25% of the property’s value. This is compared to 5% or 10% for a regular mortgage.
Most BTL mortgages are interest-only: This means you only pay the interest on the loan each month. The capital (the amount you borrowed) is not repaid until the end of the mortgage term. This can be a great option for investors who want to maximize their rental income, but it is important to make sure that you have a plan in place to repay the capital at the end of the mortgage term.
Becoming a landlord isn’t a decision to be taken lightly;
There are many things to consider, such as the cost, keeping up to date with regulations and tax implications.
The decision of whether to invest in buy-to-let is a personal one.
It is important to weigh up the pros and cons carefully before deciding. You’re in safe hands our experts will help support you every step of the way.
Let’s find the right buy-to-let mortgage for you.
Our friendly and experienced advisors will be happy to help you find the most suitable buy-to-let mortgage for your needs.
Determining whether buy-to-let is worthwhile depends on your unique circumstances and goals. Factors like property cost, rental yield, and potential risks, including the purchase price and void periods, should be carefully considered.
The minimum deposit for a buy-to-let mortgage is usually around 25% of the property's value. However, some lenders may accept lower deposits, such as 15% or 20%, depending on your situation and the lender's policies. It is important to note that the loan-to-value ratio (LTV) will be higher with a lower deposit, which may result in higher interest rates and stricter lending criteria.