Buy To Let
Hot Topics
- I Am Self-Employed. Can I Get a Mortgage?
- Whilst many high street lenders will exclude them our mortgage partners specialise in finding the best deals around for the self employed
- How Do I Switch Mortgages?
- Switching mortgages (remortgaging) has been made very easy by the industry, in reaction to the fact that most people remortgage their homes on a regular basis i.e. every 5 years on average.
- What is a Fixed Rate Mortgage?
- A loan where the initial payments are based on a certain interest rate for a stated period and the rate payable will not change during that period regardless of changes in the lender's standard variable rate.
- Base Rate Tracker Mortgage
- A base rate tracker mortgage tracks the Bank Of England’s base interest rate then adds on a additional figure to arrive at the borrowers variable rate. Your monthly mortgage interest payments go up when the base rate goes up and they go down when the base rate goes down. The base rate tracker interest rate is usually between 0.5% and 1.0% above the Bank Of England's Base Rate.
- What if I have mortgage arrears?
- If you have mortgage payments that have not been made by the due date in accordance with the mortgage deeds, you will have gained a bad credit history on your credit report. This may hinder you when trying to obtain further credit such as a credit card, loan, or another mortgage.
What is a Buy to Let mortgage?
If you are buying a property with the specific intention of renting it out, you will need to get a Buy to Let mortgage. They have increasingly popular, and you can get these types of mortgages from most mainstream lenders following the revival of the rental market in recent years. The amount you can borrow is determined by the potential rental income of the property, not your personal income – and to get the mortgage you must be able to earn a rental income that exceeds monthly mortgage repayments of 25%-30%.
The maximum Loan to Value available on a Buy to Let mortgage is 85%, but in most cases you will also need a deposit of about 20% of the purchase price for a buy to let mortgage.
