Is this possible? Buy 2nd home - LTB or BTL?

500pages

I'm wondering whether this is possible and, if so, how it might be done:

I (alone) have a 70% LTV residential mortgage on a flat.

My partner and I would now like to buy a bigger place together - and it would be my partner's first mortgage - but I don't want to give up the flat.

The flat is very rentable and rental income would cover the mortgage (even if rates went up to 8%) and leave a bit leftover (well, a lot leftover if rates stay low and a bit if rates were to shoot up to 8%). I've managed rentals before for a relative so I'm comfortable with the ins and outs of doing this.

We have some cash for a deposit on new place - up to 20% depending on purchase price.

I'm a bit confused by BTL and LTB and how this could be done.

I'm also wondering if there's any chance I can "leverage" any of the equity in the flat to push up the amount we can loan on the new place - or is it simply too little?

Would any "income" from the rental of the first flat be taken into consideration in a new mortgage application? Or would a lender rather see it as a liability?

Explanations, tips or warnings would be super-welcome!

kingstreet

Get consent to let (CTL) from your current lender.

There is not enough equity to make changing it to another lender worthwhile and no, you can't take any rental income into account for your new home.

Best you can hope for, is your new lender ignores your CTL in the background as self-financing.

BTW it would only be a LTB if you remortgaged the existing property to raise funds for the next purchase.