We’d like to remind Forumites to please avoid political debate on the Forum.
This is to keep it a safe and useful space for MoneySaving discussions. Threads that are – or become – political in nature may be removed in line with the Forum’s rules. Thank you for your understanding.
📨 Have you signed up to the Forum's new Email Digest yet? Get a selection of trending threads sent straight to your inbox daily, weekly or monthly!
Renting Current House & Buying New One
dave333
Posts: 39 Forumite
I wonder if anyone could give any advice as to whether this is 'do-able'.
Basically I want to rent out my current house and buy a larger house to live in. My current mortgage provider are fine with us converting to a buy to let and I have done the figures and works well.
My only problem is working out which lender to use?! We need to borrow approx 4.5-5x income and would have the rental profit on top... How do lenders treat the rental profit?
One complication is that the house we are looking at is a new build (I know, over-priced etc etc but we are taking a long term view and the price we can get it for is very competitive with other houses for sale nearby...) and so most lenders restrict the LTV. Ideally we would want 90% LTV but realistically its probably going to be 85%.
Any help would be greatly appreciated!
Basically I want to rent out my current house and buy a larger house to live in. My current mortgage provider are fine with us converting to a buy to let and I have done the figures and works well.
My only problem is working out which lender to use?! We need to borrow approx 4.5-5x income and would have the rental profit on top... How do lenders treat the rental profit?
One complication is that the house we are looking at is a new build (I know, over-priced etc etc but we are taking a long term view and the price we can get it for is very competitive with other houses for sale nearby...) and so most lenders restrict the LTV. Ideally we would want 90% LTV but realistically its probably going to be 85%.
Any help would be greatly appreciated!
0
Comments
-
If you are getting Consent-to-let then your new lender may! ignore the current debt of your current home but they will also ingnore the income.
If you change to a BTL mortgage then you just need the deposit for the new build and the bigger the deposit the better0
This discussion has been closed.
Confirm your email address to Create Threads and Reply
Categories
- All Categories
- 352.5K Banking & Borrowing
- 253.7K Reduce Debt & Boost Income
- 454.5K Spending & Discounts
- 245.5K Work, Benefits & Business
- 601.4K Mortgages, Homes & Bills
- 177.6K Life & Family
- 259.4K Travel & Transport
- 1.5M Hobbies & Leisure
- 16K Discuss & Feedback
- 37.7K Read-Only Boards