looking for 'Buy to let' mortgage

christopher_h

Hi,

My partner and I are looking for a 'Buy to let' joint mortgage and would appreciate any good advice/suggestions.

I am self employed with over 5 years of certified accounts with earning on average of 20k per year. My partner is employed but with a lower salary 12k per year.

I have been told that 'buy to let' lenders are more interested in the rent per month covering 110% - 130% of the mortgage repayments rather than our actual salaries.

We both have good credit scores.

Amount to borrow: 125,000.
Length 25 years
Deposit 15% = 18.750
Projected rental income: 650. pm (this is equal to 130% based on 4.89% interest rate.

I am 47 years old and my partner is 42 years old - is this a problem for a buy to let' mortgage ?

Just over 12 years ago in June 1994, my flat that I was buying that I lived in was repossesed by Cheltenham & Gloucester - will that be a problem ? Should I declare it ? I've been told that after 12 years it get's wiped off the systems ?

We don't want to limit our choices by declaring any negative info if they don't need to know.

In anticiaption.

Chris

MortgageMamma

Hello Chris

Your age is no object on a buy to let mortgage, but you will have to declare you had a property reposessed as it can be traced by the lender. This will have a minimal impact on your buy to let application now as it was such a long time ago.

PoorDave

I know this doesn't help you out, but where are you getting a rate of 4.89%?*curious*

MortgageMamma

it might not be the rate of the mortgage, but the rate the lender uses to calculate rental income, i.e. 130% of the mortgage IF the rate was 4.98% rather perhaps than what is more likely the current rate, around 5.40%