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Buy to Let - No Deposit?!!

tjj1984
tjj1984 Posts: 13 Forumite
in House buying, renting & selling
hi, just a quick question, some advice needed please.

im wanting to get a flat iv seen on a "buy to let" mortgage and have my nan/grandad live there paying the mortgage, they agree...

i bought my own house 5 months ago so i have NO deposit for this

so, is there a way i can make this possible with me having no deposit at all, even get a bank loan for the deposit maybe? the flat is £75.000

thanks for your comments..
«1

Comments

  • Ulfar
    Ulfar Posts: 1,309 Forumite
    You have no chance of a buy to let mortgage or even a residential one with no deposit.

    I don't mean to sound harsh but banks just aren't willing to agree to what you want anymore.

    The fact it will be your grandparents living there will not help.
  • Running_Horse
    Running_Horse Posts: 11,809 Forumite
    Part of the Furniture Combo Breaker
    Two words. Credit crunch.
    Been away for a while.
  • silvercar
    silvercar Posts: 49,952 Ambassador
    Part of the Furniture 10,000 Posts Academoney Grad Name Dropper
    Any equity in your home? If so you could try increasing that mortgage to release some capital to act as a deposit on this one.

    How will your grandparents be paying rent? If they intend claiming HB/ LHA the council may think it a contrived tenancy and not pay. A lot of BTL lenders are not keen for you to let to family BTW.
    I'm a Forum Ambassador on the housing, mortgages & student money saving boards. I volunteer to help get your forum questions answered and keep the forum running smoothly. Forum Ambassadors are not moderators and don't read every post. If you spot an illegal or inappropriate post then please report it to forumteam@moneysavingexpert.com (it's not part of my role to deal with this). Any views are mine and not the official line of MoneySavingExpert.com.
  • tjj1984
    tjj1984 Posts: 13 Forumite
    Running_Horse wrote: »
    Two words. Credit crunch.

    thanks for your advice "running horse" but i just bought a £120.000 home 5 months ago :money: credit crunch aint bad at all :rotfl:
  • tek-monkey
    tek-monkey Posts: 1,434 Forumite
    Part of the Furniture 1,000 Posts Combo Breaker
    Fair enough, but you can't buy another obviously. You can't even use a help scheme as you're no longer a FTB. The 100% BTL ship sailed a long time ago, you need funds to proceed nowadays.
  • Running_Horse
    Running_Horse Posts: 11,809 Forumite
    Part of the Furniture Combo Breaker
    tjj1984 wrote: »
    thanks for your advice "running horse" but i just bought a £120.000 home 5 months ago :money: credit crunch aint bad at all :rotfl:
    Sounds like you have it all sorted then. I look forward to you coming back on this thread and boasting how you have bought a property financed by your grandparents.
    Been away for a while.
  • ss70
    ss70 Posts: 59 Forumite
    tjj1984 wrote: »
    thanks for your advice "running horse" but i just bought a £120.000 home 5 months ago :money: credit crunch aint bad at all :rotfl:

    never imagined you could buy a house for 120 quid. Bargain there:T, legal fees must have cost more than the house :rotfl:
  • Debt_Free_Chick
    Debt_Free_Chick Posts: 13,276 Forumite
    10,000 Posts Combo Breaker
    tjj1984 wrote: »
    thanks for your advice "running horse" but i just bought a £120.000 home 5 months ago :money: credit crunch aint bad at all :rotfl:

    What Running Horse means is that the credit crunch has made borrowing even more difficult. Borrowing to buy a home is one thing - borrowing in order to invest is another. And a BTL is an investment, not a home. You essentially want the lender to give (lend) you money so you can make a speculative investment. In a credit crunch, it's even more unlikely that you will find lenders who are prepared to do this.

    You will need 30%, 40% or more as a deposit.

    Do your grandparents have any money to put in to this "venture"? :confused:
    Warning ..... I'm a peri-menopausal axe-wielding maniac ;)
  • EliteHeat
    EliteHeat Posts: 1,382 Forumite
    Surely there must be a way for the OP to get a free flat without lifting a finger or breaking into a sweat.

    Come on, the recessions over, let the good times and free money roll.
  • tek-monkey
    tek-monkey Posts: 1,434 Forumite
    Part of the Furniture 1,000 Posts Combo Breaker
    Actually there is, you just need to send me £500 and I'll tell you how!


    ;)
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