Problem getting BTL mortgage

FraudBuster

some people on here seem to think its fraud

Are you an MP?

PayDay

starM wrote: »

I have seen a property for 107k - can put down 45k. I earn 21k this includes CTC/CB. Currently living with parents - I had a BTL property previously which I sold in 2007.

The CTC and CB are benefits given to you, by the tax payer, to feed and cloth your child. Not for you to spend on yourself! The quicker they are replaced with vouchers and food parcels, the better it will be for children.

starM

PayDay wrote: »

The CTC and CB are benefits given to you, by the tax payer, to feed and cloth your child. Not for you to spend on yourself! The quicker they are replaced with vouchers and food parcels, the better it will be for children.

Who said I am spending it on myself? If you look at Halifax website you will find Halifax mortgages accepts CTC/CB as additional income. The benefits I am getting is only 3k. Think before posting.

MS

rent_and_buy

herbiesjp wrote: »

NO - it is fraud when you apply for a BTL knowing full well that you are going to let it out

Like i said it would pay her/him to be a resident in her/his own home if he/she chose to rent in a couple of months or 6 months it is of no interest to you or me and it is very legal to do that.

If you ask me i think its great that someone can save some money this way, maybe as a fiancial adviser you get more commission for btl mortgages, but the other person is on here to save money not to line your pockets.

get over it, im currently on a five year fixed and has soon as we find a property we like, ill be asking for consent to let, for a fixed fee, and then i will be renting out my house and i will be saving a bundle by doing this.

I asked my mortgage people if it would be possible to let my property out when i took out my mortgage, they told me yes for a fixed fee, but the rate would stay the same until my current deal finishes.;)

Houses havent really dropped that much by me but im hoping in about 6 months there will be some right bargains and then i will make my move.:rolleyes:

rent_and_buy

starM wrote: »

Who said I am spending it on myself? If you look at Halifax website you will find Halifax mortgages accepts CTC/CB as additional income. The benefits I am getting is only 3k. Think before posting.

MS

I wouldnt even get into a argument about ctc/cb, my advise to you would be buy the house with a residetial mortgage live there for a few months then ask for consent to let, explain to the mortgage people whe you apply for the mortgage, just say i may be getting a job abroad in the future would there be a problem getting consent to let???

they will either say no or yes, then after a couple of months tell them you want to use the option of cosent to let.

you will save a fair bit of money, and it gives you the heads up on current landlords in your area as the rates they will be paying on their btl mortgages will be a lot more than yours.

thus meaning you will be able to rent your property at a lower rate and still make more profit than them.

unite79

Nad your lender will always give you consent to let, and you have nothing to worry about, because lenders never alter the fact that they will happily give consent to let.......!!!!!!!NOT

rent_and_buy

unite79 wrote: »

Nad your lender will always give you consent to let, and you have nothing to worry about, because lenders never alter the fact that they will happily give consent to let.......!!!!!!!NOT

A lot of it as got to do with what equity is left in your house, when the other person buys it, they will have over a 40% deposit, so when they come to rent it out in a few months it should be no problem.

i had consent from my last mortgage lender, as long as the rent will cover you mortgage plus a bit more no problem, when i rent mine out, the rent will nearly be twice as much as my mortgage.

socrates

rent_and_buy wrote: »

Just get a residential mortgage, make sure your mortage provider will give you consent to let in the future, some charge a small fee for this, then just live in the property for a few months, tell the mortgage company you no longer wish to live there and would like to rent your property out.

I would try and get a good 5 year fixed deal, you will save loads on fees, i was going to go with c and g 5.29% with a massive 3.5% fee, use your head and live in the property for a few months.

You will save a lot of money as residential mortgages are a lot cheaper than btl ones, some people on here seem to think its fraud, its only fraud when you dont pay the money back.

OP its always good to get advice from someone like this - who has never actually done what they are advising you to do.

rent_and_buy

socrates wrote: »

OP its always good to get advice from someone like this - who has never actually done what they are advising you to do.

when i ask for consent and they say yes i will come back and tell you all, until then you keep on telling the world what they cant and can do, i see now your even doing jeremy kyle type post's . just shows how much of a nause you really are.;)

socrates

rent_and_buy wrote: »

when i ask for consent and they say yes i will come back and tell you all, until then you keep on telling the world what they cant and can do, i see now your even doing jeremy kyle type post's . just shows how much of a nause you really are.;)

I think you will find that when you do try to get consent to let - they WILL give it to you - however none of your figures will stack up.

You still know nothing about yields - as your PM's to me show.

Your LTV stacks up as we both know what that is from your Confused31 name (other alias you use)

However you are using equity released from your current house to put as a deposit on your new house (if anyone EVER buys/rents the house you have been trying to sell for what seems like a lifetime).

So whichever way you look at it the Nationwide were correct in their view that they would not proceed with your plan.

The Post Office have not seen your full plan yet - when they do they too will tell you that there is no further funding as your earning levels will not support your plan.

I have told you this before - many many times plus many others who have REAL experience and have done what they advise other people.

Your problem is that you have NOT done what you advise others to do.

You have not sold your house, you have not rented it, you have never been a LL, you have never got 'consent to let', you have never dealt with a Letting Agent, you have never completed a self assessment when letting a property, you have never dealt with a bad tenant - plus loads more

Basically all you have done is released equity in your property and stuck it in a bank account earning less interest than you are paying the Post Office.

Glad to see you keep an active interest in my whereabouts - when is Confused31 back in town.

Probably the same time as the Circus!!