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Can you take out a 2nd mortgage if you change your first one to a Buy To Let?
vancreef
Posts: 42 Forumite
Hi All,
My wife and I both have houses from our previouos marriages which we wanted to sell and buy a new house of our own. Problem is that while my house has about £25k equity in it, hers is in negative equity, so rather than sell hers we have been advised to let it out until the market picks up. We are still going to sell my house however, and use the equity as a desposit on a new one, but seeing as she isn't in a position to sell hers, she will already have a mortgage when we come to apply for a new joint one, in time to come. Question is, if she swaps her mortgage from a standard one to a Buy To Let, will they then let us take out a joint mortgage, as one taken out solely in my name just doesn't give us the amount we need?
My wife and I both have houses from our previouos marriages which we wanted to sell and buy a new house of our own. Problem is that while my house has about £25k equity in it, hers is in negative equity, so rather than sell hers we have been advised to let it out until the market picks up. We are still going to sell my house however, and use the equity as a desposit on a new one, but seeing as she isn't in a position to sell hers, she will already have a mortgage when we come to apply for a new joint one, in time to come. Question is, if she swaps her mortgage from a standard one to a Buy To Let, will they then let us take out a joint mortgage, as one taken out solely in my name just doesn't give us the amount we need?
0
Comments
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Swapping her mortgage to buy-to-let will be near impossible if she's in negative equity - they usually have a minimum LTV of 75% or 80%, and hers is over 100%.
Consent to let is possible (that would let her keep her existing mortgage and let it out). You'd probably want to speak to a broker about the best way forward.0
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