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!
The Forum now has a brand new text editor, adding a bunch of handy features to use when creating posts. Read more in our how-to guide
Buy to Let...
barrymung
Posts: 638 Forumite
A quick 'in theory' question.
I'm currently buying my own house, £63K oustanding; value of property is about £170k so quite a bit of equity has built up.
I have always quite liked the idea of a small buy-to-let property as an investment, but haven't got enough savings for the 30% deposit. However, I feel the time is right to buy.
Working on the basis that I have a £100k+ equity in the house I currently own, is there any way of using this as a deposit/security or whatever?
I'm currently buying my own house, £63K oustanding; value of property is about £170k so quite a bit of equity has built up.
I have always quite liked the idea of a small buy-to-let property as an investment, but haven't got enough savings for the 30% deposit. However, I feel the time is right to buy.
Working on the basis that I have a £100k+ equity in the house I currently own, is there any way of using this as a deposit/security or whatever?
0
Comments
-
You only need a 20% deposit for a BTL although 25% will open you to much better options. You would have to borrow money against your residential property and use that as the deposit... you couldnt just use the equity in your property as the security for anything above 75% ltv.I am a Mortgage AdviserYou 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.0
This discussion has been closed.
Confirm your email address to Create Threads and Reply
Categories
- All Categories
- 353.8K Banking & Borrowing
- 254.3K Reduce Debt & Boost Income
- 455.2K Spending & Discounts
- 246.9K Work, Benefits & Business
- 603.4K Mortgages, Homes & Bills
- 178.2K Life & Family
- 260.9K Travel & Transport
- 1.5M Hobbies & Leisure
- 16K Discuss & Feedback
- 37.7K Read-Only Boards