Let to buy or buy to let

kazire

Hi I am hoping to see a broker later on this week but want to have the heads up first, what is the difference between btl and ltb? As I think this is the route I'm heading down.

I hope to buy a residential property with my partner and wish to use some of the property's value to fund this. When working out the affordability for the new house will the rented house mortgage be counted in my outgoings in case rent is not paid or Is it counted as an income? Or just not acknowledge?

Many thanks

Thrugelmir

kazire wrote: »

I hope to buy a residential property with my partner and wish to use some of the property's value to fund this.

To clarify you wish to buy a property then release equity for another property purchase?

kazire

I have a property which is mortgaged and is currently rented out on consent to let.

I now wish to buy a house with my partner to live in together.

I would like to remortgage to free up some funds I can put down towards the new home

Thrugelmir

It is possible. Though the lender(s) you arrange the mortgage(s) through will have to allow the release the equity for the purpose you propose and acceptance of the source as a deposit.

kazire

I'm not currently fixed to any product so could I not just remortgage the rented property back to a 75% Ltv