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Buy to Let Mortgage?

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Col.Mastard
Col.Mastard Posts: 248 Forumite
in Mortgages & endowments
Is there a Buy to Let Mortgage product, that only looks at proposed rental income? :confused:

Many Thanks,

Colin
«134

Comments

  • JoeK_3
    JoeK_3 Posts: 1,374 Forumite
    Col.Mastard wrote: »
    Is there a Buy to Let Mortgage product, that only looks at proposed rental income? :confused:

    Many Thanks,

    Colin

    Buy to let mortgages are based on rental income.

    What promted that question in the first place?

    You might want to explain further.

    JoeK
    I am an Independent Financial Adviser.
    Anything posted on this forum is for discussion purposes only. It should not be considered financial advice. Different people have different needs and what is right for one person may be different for another. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser who can advise you after finding out more about your situation.
  • herbiesjp
    herbiesjp Posts: 8,499 Forumite
    That is how they work - they are based on the expected rental income for the property in question in its current condition

    Some lenders will want a minimum income as well though
    I am a Mortgage Adviser
    You should note that this site doesn't check my status as a Mortgage Adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.
  • Mr_helpful
    Mr_helpful Posts: 3,233 Forumite
    Some lenders check you have a minimum income some require on but let you self cert. Some have no minimum income. The majority calculate the mortgage on the rental but there are some that let you use rental and income. Best thing is discuss with broker. Preferably one who has his own portfolio
    I like to give people as many choices as possible to do what I want them to. (Milton H Erickson I think)
  • Col.Mastard
    Col.Mastard Posts: 248 Forumite
    JoeK wrote: »
    What promted that question in the first place?

    I'm just Unfamiliar with these types of mortgages as Lenders criteria seems to change frequently.

    Purchase Price: £157K
    Deposit: 15% LTV
    Rental Income: £895 PCM

    (Credit rating Good...989 with Experian, 492 with Equifax)


    Any Idea's, which lender I could approach? :confused:

    Many Thanks,
  • herbiesjp
    herbiesjp Posts: 8,499 Forumite
    Most BTL lenders will be able to help on that basis

    What kind of property is it? SOme lenders have picky criteria i.e. ex local authority with deck access
    I am a Mortgage Adviser
    You should note that this site doesn't check my status as a Mortgage Adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.
  • Mr_helpful
    Mr_helpful Posts: 3,233 Forumite
    Its better to use a fees free broker as there are many different lenders some with out a high st prescence and also there are quite a few exclusives around so you would do a lot of work finding the best deal
    I like to give people as many choices as possible to do what I want them to. (Milton H Erickson I think)
  • Col.Mastard
    Col.Mastard Posts: 248 Forumite
    herbiesjp wrote: »
    What kind of property is it? SOme lenders have picky criteria i.e. ex local authority with deck access

    Purpose built 2 bedroom ground floor flat, with only a one flat above. located on a private road.

    Lease 930 Years Remaining.
    Ground Rent / Service Charges £70 PCM.
  • herbiesjp
    herbiesjp Posts: 8,499 Forumite
    Sounds fine for all mainstream BTL lenders then
    I am a Mortgage Adviser
    You should note that this site doesn't check my status as a Mortgage Adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.
  • Col.Mastard
    Col.Mastard Posts: 248 Forumite
    Are there any lenders that do this, on a 90% LTV?
  • herbiesjp
    herbiesjp Posts: 8,499 Forumite
    There are only a handful of lenders that may consider the BTL at 90% - but you will be paying a higher rate normally and higher fees

    You would need to work out if it is cost effective for you to look at it on this basis by comparing the figures at 90% with an 85% deal

    Have a word with a whole of market adviser and they should be able to come back to you with some figures very quickly
    I am a Mortgage Adviser
    You should note that this site doesn't check my status as a Mortgage Adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.
This discussion has been closed.
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