Buy to live/Buy to let

vicky0806

Hello Everyone,

I am new to this. So please excuse me if this question has been asked before.

I am interested to buy a flat for myself. But its currently let out and would be available after 8 months.
a) What mortgage should i look for ? buy to let or normal?
b) What would be the tax implication?

Any other things to be worried about?

Thanks

G_M

If you buy it with the tenant inoccupation you will become a landlord. You will need a BTL mortgage, and will need to understand:

New Landlords (information for new or prospective landlords)

A serious matter.

If you want to live there, and get a residential mortgage, you will need the current owners to get the tenant out before you Exchange Contracts.

tim123456789

as a newbie you will not get a mortgage for a property with tenant in situ.

you either need to wait until the property is empty and get a normal residential mortgage

or look for a new property

Werdnal

If the tenancy runs for another 8 months, sounds like the tenats have a fixed term, and the vendor (LL) will not be able to end it before then.

If you want to buy, you will need a BTL mortgage - do you have 25% minimum deposit? If you are a FTB, you may struggle to get a BTL loan anyway.

Then you will need to comply with all the rules, laws and obligations of being a landlord - tax, deposit protection, landlord insurance, repair obligations, property inspections, gas safety checks - and thats just when everything is going well, never mind tenants not paying, damage to the property etc.

Then of course, even if the tenant's fixed term ends in 8 months, legally they do not have to leave then, and it can take several more months and a court case to formally evict them.

If you want a nice little flat to start on the property ladder, you would be best avoiding this one.

vicky0806

Thanks a lot for the valuable comments.