Unmortgageable ?

how-it-is

Hi,

I have seen a property i would like to buy (at auction- or prior too),
he sale price i estimate will be £140k, i have got £100k and need to raise the remainder.

I phoned up Cov b society and they refused me a buy to let (infact any) mortgage, as i do not have a proper job (in there eyes). I am a self employed engineer in between smartening up the odd house.

I have just finished renovating another property its got no mortgage and thats for sale and also dont have a mortgage on my own house - as i work hard and save etc etc. I dont have any debts or past problems in that area.

The house i am/was going to buy is a 100% rent machine, and the figures are excellent.

Has anyone got any ideas of the best way to raise the extra cash?

I do not want to be tied into any redemption penalties etc etc

Thanks in advance for your help

Thrugelmir

Secure a steady income to enable you to fund mortgages to acquire property. A number of BTL lenders now require a secure salary level of £25k. Amateur property developement (churning with makeovers) was yesterdays vogue.

GMS

Smartening up the odd house? Do you mean property developer?

Without proof of income you have excluded many lenders, and as a property developer excluded the main BTL lender at the moment.

Speak to a broker. May be options for you but could be tricky. Buying with a bridging loan may be an option, but you need to be sure you can repay the bridge.

A good broker would search the market for you and come up with the best deal for you if there is one.

getmore4less

<i>also dont have a mortgage on my own house </i>


A large offset mortgage on the main residence used to manage cashflow would be the answer long term.

But that would need income to set up.

or hindsight forward planning

patman99

Why not rent-out the property you have just finished?, it would produce a residual income until house prices climb.
You could then use your £100k to buy and let-out a slightly cheaper property.

herbiesjp

If you are a self employed engineer, you will have income of some sort.

You will also be able to verify that income via accounts.

So you will have options available to you. Which options, will depend on the level of income you can verify.

You may not find a deal that offers everything you are looking for, so a compromise may be in order in relation to your mortgage requirements.

Conrad

TMW do not need any income and don't even ask what your income is.

Buying at auction with a mortgage is tricky and keep in mkind the lender wsill want all issues including legal matters resolved to thier satisfaction, but with auction property there can be issues that are difficult to resolve.

As an alternative you might consider remortgaging your main resi by nominating it as a buy to let - as long as everything stacks up.

Coventry BS are very fussy and cherry pick the least risk cases.