Let to buy mortgage

baron777red

I took outa 3 yr fixed let to buy mortgage, with natwest and the fix ends next year, can Iremortgage this or do I need another let to buy mortgage.

It startedwhen the house we were trying to sell kept falling through, so a mortgageadvisor suggested we get a let to buy mortgage, and rent out our currentproperty.

We did thisand the property that is being rented is fine, the rent easily covers themortgage I am paying on it.

But whenthe let to buy 3 yr fix ends, do I need to the same type of mortgage again? Or canI do a normal remortgage. I am still going to continue to rent out the firstproperty.

Thanks

colin

GMS

Did you get consent to let or a buy to let mortgage on the first property?

Which lender are you with?

baron777red

yes got consent, were with the coventry BS for the property that is being rented out

and the let to buy mortgage is with natwest, the mortgage advisor told us that there were only a few lenders that did this special "let to buy" type of mortgage, so we hope that we can remortgage at the end of the 3 years, if not our options could be very limited.

GMS

Have a chat with a broker to see the best way to proceed.

Check your paperwork for both mortgages. Check the follow on rates to see if you are better staying where you are.

baron777red

I alreadyknow:

the rentedhouse – reverted to a tracker at 0.5% above base rate, for the remaining termof the mortgage back in 2008, which is really good, so we are sticking withthis, unless interest rates start going up.

The otherhouse (the one were living in) with the natwest mortgage, is 5.65 fixed, butreverts to the lenders SVR which is currently 4%, and if we did nothing it wouldreduce out mortgage by £80 a month, once the fixed ends.

Which youmight think is good, but I want to remortgage and clear off some other debts I have.

holly_hobby

As long as your let property (which is on a Buy To Let mge or consent to let arrangement) - is self sufficient, most lenders will be happy to set aside the mge costing associated with it, and exclude it from their affordabilty assessment re your own residential mge application (which yes, is technically referred to as "Let To Buy" (ie the opposite to a Buy To Let arrangement).

A decent whole of market broker will save you the leg work, and be aware which lenders offer such lending, being happy to set aside any mge costings in respect of the let property.

Hope this helps

Holly