Let to Buy mortgages?? (trustees)

smiley21_uk

Hi
I am struggling to find anything on the net regarding "let to buy" mortgages.

Can anyone tell me who offer this product?

The other issue relate to trustees

This is my current situation,

I live in flat which held in trusts who is my mother but I am the beneficiary
The property is mortgage free and worth 450K, but I need raise capital to buy a house to live in which is 290K (hence let to buy, so rental will pay the mortgage).

Who salary would the lender need to see my mother, mine or both?

Mr_helpful

A let to buy mortgage is where you let out your current property and buy another one to live in. There is not really a specific product but some lenders allow you to borrow up to 95% of the new residential mortgage calculated on your earnings and disregard the mortgage on your current property which is now rented out and paying for its mortgage. As your house is mortgage free are you hoping to raise enough on that to buy new house outright. If you could come back to me with exactly what you want to do Im sure I could give better advice.

smiley21_uk

Thanks for your reply

That is correct, I want raise the capital on my existing property to buy the new house outright.

The problem i have is my salary is 31,000 and the potential rental income is £1600 pcm

I am not too sure how to tackle this, it seems from your reply that a let to buy mortgage is not the way to go.

Can i assume that the lender will only look at my income and rental income and disregard the value of the existing property?

Mr_helpful

you want a buy to let mortgage on your existing property. This can be done on the rental value of the property rather than your income