Build to let mortgage recommendations

Balanus

Hi

We paid off our our mortgage on our main property a few years ago now. We are building another house next to our existing home and can afford to finance most but not all of the build costs so we'll need to borrow up to £100K. On completion we intend to rent the new house although we may move there in a few years and sell our current home.

Our thinking is that we could raise a mortgage on our current house - it is worth more than three times the loan we want. Alternatively we could go for a mortgage on the new house; it will be worth a lot more than the amount we need to borrow.

Before starting our own research we wondered if anyone on the forum has any ideas, comments or suggestions to help guide us?

Let_Us_See

What you suggest is straightforward and re-mortgage rates should be lower than self-build rates and certainly less hassle. You just have to prove affordability.