Buy To Let Mortgages Without Minimum Income Requirement

Laurence_WMF

I've been told that most buy to let mortgages now require a minimum annual income of £25,000, but some don't.

Do you know which ones don't? Any advice about these?

Thanks very much indeed,
Laurence

Let_Us_See

There sure are! Go and ask a good broker.

GMS

Purchase or remortgage?

Any properties currently let?

Residential status?

Income?

Many BTL's are broker only. Definitely worth speaking to a broker

Laurence_WMF

Thanks Let Us See and GMS.

This would be a purchase of a new property, and I do not currently let any property.

It was actually a broker who told me about the £25.000 income minimum. The broker had a 'go away, do some research, decide what you want, select a property, come back and I'll fix you a deal attitude' (is this typical?). Fair enough, but some of the research he'd like me to do involves finding out more about the ins and outs, pros and cons of buy-to-let mortgages. The bank and building society I talked to had more of a 'beginner's guide' attitude, which suited me better at this stage, but they didn't do buy-to-lets without this income requirement.

So if anyone could name lenders who would don't have the minimum income requirement I could do some research, come to a decision about whether to take out a buy to let, and if so what terms and amount I wanted, and then eventuually return to a broker who I appreciate might get me something better than I could find independently.

Thanks a lot,
Lautence

GMS

Do you own your residential property?

What is your income?

Purchase price of property? Loan required? Anticipated rental per month?

kingstreet

Laurence, is there any chance you could tell us what you actually want to do?

You are looking for a buy to let mortgage but aren't buying a property?

You don't have any let property now?

Are you planning to let your own home?

If so, have you asked your current lender about "consent to let" without having to change to a formal BTL/LTB product?

Laurence_WMF

kingstreet wrote: »

You are looking for a buy to let mortgage but aren't buying a property?

If so, have you asked your current lender about "consent to let" without having to change to a formal BTL/LTB product?

Soorry, the 'not' was a careless slip and I've edited it out. I am looking to buy a property, in addition to retaining my own residence. I own my residence outright, I don't have a current lender.

Thanks a lot,
Laurence

kingstreet

Ok. So you can't remortgage the residential and bypass the BTL altogether to get a better fee/rate combo, because you don't meet the income requirements.

There are lenders with no personal income requirement, as long as the rental income/mortgage interest calculation works out and the deposit is high enough, of course. There are also lenders who have a lower minimum than £25k too.

TBH the answer here is going to end up with "find a good whole market broker..." so I might as well suggest that now. Many lenders and products are only available via intermediaries in the BTL sector, so you will probably find you end up with a broker just to get a full view of the market.

simpywimpy

Ive just remortaged one of my tenanted properties via a broker with The mortgage Works. I don't work at all, so the loan was based just on the rental income from the property being mortgaged. I don't think many companies offer this as my broker is currently looking for an alternative lender on the same basis. I don't want all my eggs in one basket (lender) and have two more properties to re-mortgage

GMS

simpywimpy wrote: »

Ive just remortaged one of my tenanted properties via a broker with The mortgage Works. I don't work at all, so the loan was based just on the rental income from the property being mortgaged. I don't think many companies offer this as my broker is currently looking for an alternative lender on the same basis. I don't want all my eggs in one basket (lender) and have two more properties to re-mortgage

The Mortgage Works restrict the amount of borrowing for first time landlords to 4.25 x income. As you are an experienced landlord no personal income is required.

OP has not stated income level or required borrowings so as a first time landlord it is impossible to say if TMW would be an option.

For your own situation there are other lenders available to you, all things being equal.

Thrugelmir

Laurence_WMF wrote: »

The broker had a 'go away, do some research, decide what you want, select a property, come back and I'll fix you a deal attitude' (is this typical?).

BTL is a business. Have you crunched the numbers as to what type of property would make a profitable rental in your locality?