First mortgage - BTL

GC2012

Hi everyone,

Looking for some advice.
I am looking to get in to property and start with a reasonable priced house near to where I live that I can rent out.

For a BTL I need 20-25% deposit which will take me a while to save, probably too long as it will be around £16,000 deposit.

I have been looking on line and was thinking about doing the following if it is possible, buying a house as my first property so I can hopefully get away with 5-10% deposit (will put 10% down) and then put the property on interest only payments for a year or two.

Reason for doing this is that I can then leave the property for a few months while I get any work done and then apply for a consent to let. I know some companies say it must me at least 6-12 months until they grant them but worst case I can still afford the interest payments until this threshold is reached and then rent it out.

I understand it may not be this easy but any advice is appreciated, I am desperate to get in to renting property as a side line to my other business.

Thanks

Dave_Ham

With respect, this is a pipe dream.


There are loads of reasons why this is not a runner, but will list a few below. These may/may not be the case for you.


You will not get interest only payments for any period of time
No lenders will like your plan
If saving this amount is an issue, then do you really think the associated costs of buying/renting/doing up/having rental void and selling will be sustainable
Consent to let is a temporary offering and lenders do not have to grant this


Best of luck

ACG

I think Dave has put what I was thinking...

There are so many issues with your plan its hard to know where to begin. I would just take our word that it wont work.

GC2012

Thanks for the advice, was a bit of a long shot so thought it maybe worth looking in to but obviously not.

I suppose the only real way to go about it is to carry on saving until I have the 20ish% deposit?


Thanks