The buy to let sector is one of the most volatile areas of the mortgage market, with regular regulatory upheaval affecting lender criteria and borrowers’ access to lucrative deals. From the 2016 changes set out by the Prudential Regulation Authority, to reduce tax relief for landlords, knowing how to navigate the buy to let mortgage market is one of our most sought-after services.
With so much change afoot, it is important to consider your options carefully before deciding which route to take. This will help you achieve the best lending terms and return on investment available.
WHAT DO I NEED TO KNOW ABOUT BUY TO LET MORTGAGES?
Before approaching a lender, it’s important to determine why you are buying or refinancing a buy to let property, whether your plans are long or short term and what you intend to use it for.
A buy to let mortgage is often determined by the rental income you will receive from tenants (this is the rental calculation) and how much you can contribute to the purchase price (the deposit). Many lenders will also require proof of personal income separate from the rental income, which varies greatly from lender to lender.
Picking the right lender is crucial when it comes to finding the most suitable terms for both you and the property, as calculating the true cost of a buy to let purchase is not straightforward. This is even more important considering that buy to let transactions are usually a commercial decision based on investment.
Although, don’t panic – there are many additional routes available to secure your finance, such as cross-charging assets, prepaying interest or releasing equity elsewhere.
HOW CAN ENNESS HELP WITH BUY TO LET MORTGAGES?
Once we have gained a full understanding of your circumstances, we will find the right terms for you, whether that is the cheapest rate, most affordable fees or flexible rental calculation. Best of all – we will do this with minimal fuss, from the moment you contact us to completion.
We work with every lender in this space and have access to market leading buy to let rates so we can negotiate the most suitable solution for you. Rest assured we will look at your entire financial picture from multiple perspectives and present you with options many other brokers could not.