chould I remortgage as a buy to let now?

hackneyhouse

I have one residential property worth 480000 on a residential mortgage of 5.9 % I live here.

I am considering getting a buy to let mortgage and rent it all out. I have a £230000 loan. Its a good income return, enough to rent a flat when I need too and travel too. I've also accounted for tax. Assuming that I can offset the interest on the mortgage. Rental income will be anything between £2000-2500 a month. Its a desirable area in London.

Question: What are the best BUY TO LET DEALS out there for me with my deposit? The interest rate/monthly payment and fee? Also what do I need to apply exactly? Proof of income, rent etc



Option 2:

I do the same but I take some of my money to buy a new property on a residential mortgage. I have looked at the market and for what I need the lowest I could buy at is £330000. Therefore the rent form my other property would pay my mortgage at my new one. The question is what is available to me, the figures etc For instance as I'm self employed the maximum figures I could give for my income would be 40k a year, and a good proportion of this is non taxable income although I have a chartered accountant.

Can you help advise what is financially more promising?

And any other details I might need to know. Eg the minimum deposit I need for a buy to let remortage on my current property?

Many Thanks!

oscardog

Most BTL mortgages seem to need around 60-75% LTV:

http://moneyfacts.co.uk/compare/mortgages/buy-to-let/

Conrad

B2L lenders in general only need personal income to be £25k. TMW, BM Solutions and Coventry BS are the main B2L options in most instances.
Rent needs to cover a notional payment by 125% - thats the key driver here.
Most B2L products have massive fees.