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Switching from residential to BTL
wilso87
Posts: 1 Newbie
Hi all.
Me and my girlfriend purchased our first house nearly 2 years ago now and so the fixed 2 year mortgage deal is coming to an end soon.
We now want to switch the mortgage to BTL to let it out, so we can move into another property.
We would also like to release some equity when remortgaging this property but are unsure whether we would be able to do this yet as we wont have paid much off the mortgage.
We had a mortgage of £105,000 when we bought our house, and I know it is currently worth about £140,000 so I know we were in good positive equity.
Just wondered iy anyone could give me abit of info berfore I contact any lenders.
many thanks
Me and my girlfriend purchased our first house nearly 2 years ago now and so the fixed 2 year mortgage deal is coming to an end soon.
We now want to switch the mortgage to BTL to let it out, so we can move into another property.
We would also like to release some equity when remortgaging this property but are unsure whether we would be able to do this yet as we wont have paid much off the mortgage.
We had a mortgage of £105,000 when we bought our house, and I know it is currently worth about £140,000 so I know we were in good positive equity.
Just wondered iy anyone could give me abit of info berfore I contact any lenders.
many thanks
0
Comments
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you will be limited to 75% maximum LTV assuming the rental income fits the rental calculator of the chosen lenderI am a Mortgage AdviserYou should note that this site doesn't check my status as a Mortgage Adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.0
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I'm no expert on mortgage info but I was allowed to let mine in same circs even though I borrowed against the BTL property to buy my new residential one. I borrowed 110k on the BTL which was worth approx 160k at the time (I paid 187k but it had dropped by then). I had to change to an interest only mortgage on the BTL and my rent had to be something like 110% (ish) of the monthly mortgage payments.
Not sure this is useful!0
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