let to buy mortgage

ppadam

hi has anyone out there done a let to buy mortgage?
I mean by letting your house to fund a the mortgage to buy another property?
could to share your expericence please

cheers paul

Gorgeous_George

The house that you let will be a BTL mortgage (or a residential one with lender's permission). The other will be a residential mortgage.

It sounds like BTL to me.

GG

katew87

Yes Let to Buy is what the banks call it. I have a mortgage with A&L on a 2 bed house which I took out 2 years ago and have just took out another mortage with NR. A&L are keeping me on the same int rate (even though I am renting it out) untill my fixed period comes to an end.
Im only in my first week but its been no problems my mortage advisor did all the hardwork for me
Good Luck!!

minimike2

I dont think many are offering a LTB anymore...but theres nothing stopping you doing a normal BTL to raise the deposit and a new residential - essentially the same thing.

koexelek

minimike2 wrote: »

I dont think many are offering a LTB anymore...

...those that are have very tight criteria, like the rent needing to cover the mortgage interest at about 130%, based on an interest rate of something like 8%, a copy of the tenancy agreement, and written proof that the current lender has given consent to let.

I find Coventry and BM Solutions the best on let to buy purchases these days

katew87

Ive not had any problems, the only thing that was asked was that the rent covered the mortgage and that was it,. I do worry what the rate will be once my fixed rate is up with A&L nexy year.