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Buy To Let Mortgages Without Minimum Income Requirement

2

Comments

  • Laurence_WMF
    Laurence_WMF Posts: 146 Forumite
    GMS wrote: »
    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.

    Income: £16,000
    Required Borrowings: £100,000
    Estimated Rent for new property: £600 pcm
  • kingstreet
    kingstreet Posts: 39,351 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    The lenders who use a notional rate of around 6% are going to need rental income of £625 if they also insist on the 25% buffer.

    For example, £100k x 6% = £6000 / 12 = £500 pm x 125% = £625 rent.
    I am a mortgage broker. 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. Please do not send PMs asking for one-to-one-advice, or representation.
  • GMS
    GMS Posts: 5,388 Forumite
    Part of the Furniture 1,000 Posts Combo Breaker
    What is the purchase price?
    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.
  • Laurence_WMF
    Laurence_WMF Posts: 146 Forumite
    GMS wrote: »
    What is the purchase price?

    Around £150,000
  • Laurence_WMF
    Laurence_WMF Posts: 146 Forumite
    GMS,

    Now that I've supplied my details, do you have any advice please?

    Thanks very much indeed,
    Laurence
  • ACG
    ACG Posts: 24,746 Forumite
    Part of the Furniture 10,000 Posts Name Dropper I've helped Parliament
    As kingstreet says in post 13, that is a typical way lenders work out whether or not they would be prepared to lend on the property.

    If you can get the rent to fit in with a 125% of what the monthly repayments would be on interest only at 6% you should be fine. But the lenders will check the likes or rightmove etc.

    There are lenders who do not have a minimum income requirement (not many, but there are a couple). I say this a bit on here but your dealing with a broker for what is going to be one of your largest ever purchases and possibly a fairly stressful period, you have to make sure your happy with them. If not, go and find another broker, there will be plenty who will be happy for the business.
    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.
  • GMS
    GMS Posts: 5,388 Forumite
    Part of the Furniture 1,000 Posts Combo Breaker
    Laurence_WMF wrote: »
    GMS,

    Now that I've supplied my details, do you have any advice please?

    Thanks very much indeed,
    Laurence

    The only advice I can give is to speak to a broker. I wouldn't start quoting lenders as I do not know enough about you. Only after a full fact find would you get any proper advice.

    Rent is tight. Possibilities out there for you 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.
  • Laurence_WMF
    Laurence_WMF Posts: 146 Forumite
    Thanks for all the advice, everybody, cofirming what my broker has told me about buy to lets.
    ACG wrote: »
    There are lenders who do not have a minimum income requirement (not many, but there are a couple).

    It looks like no one is actually going to mention names. Oh well...
  • somethingcorporate
    somethingcorporate Posts: 9,449 Forumite
    Go see a good broker :)
    Thinking critically since 1996....
  • Wywth
    Wywth Posts: 5,079 Forumite
    GMS wrote: »
    The only advice I can give is to speak to a broker. I wouldn't start quoting lenders as I do not know enough about you. Only after a full fact find would you get any proper advice.

    Rent is tight. Possibilities out there for you though.

    So why all the questions? :huh:
This discussion has been closed.
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