new morgaage

moonrakermagpie

Hi,

We have put an offer in on a house to rent to a family member, and are now looking for a morgage.:beer:

The house is £157.500 and we are putting down a 15% deposit of 24.000 approx, We are being told that on an interest only the monthly payments would be around £700, and I believe the rate is approx 6.5%.:eek:

Where should we go to get the best/ lowest possible monthly payments with or without a repayment vehicle.

Is it possible to get base rate or very close to it like one reads aabout on this forum

Cheers Steve

herbiesjp

If you are buying this as a residential mortgage, for a family member to live in, then you will need your income to be able to support your own mortgage as well as this.

If you are looking at a BTL, then you are looking at higher rates, and a more limited choice of lenders - as not all lenders offer regulated BTL which is what you would need if you are looking to rent to family

Most of the lower rates on residential deals are for lower LTVs -so generally lower than 65% - some good options around 75%. When looking at 85% they are generally not as good.

I would suggest getting a whole of market adviser involved to make sure you are going down the correct route for this purchase