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mortgage advise needed
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paraman
Posts: 29 Forumite
I currently have 2 mortgages, one is with NatWest which is for the house I live in and the other is with Leeds building society which I let and have been doing so for around 5 years. I gained consent to let from the start with Leeds BS and I am on there SVR rate plus 1% extra for the consent to let which in total is 6.69%. the property is worth around £95000 and mortgage balance is £75000. the mortgage is a repayment of £646 (interest only is £424) with rental income of £500 per month.
I will be buying a house with my fiancee around Feb 2016 and I will be selling my house that I currently live in and I will be getting a joint mortgage with my fiancee.
My question is when I get a mortgage with my fiancee will the mortgage that I have on my house that I let affect how much we can borrow for my new mortgage? will lenders treat this rental income differently if I change to a buy to let mortgage from consent to let?
If I change the mortgage on my rented house to a buy to let I could get a 80% LTV and would be able to meet the 125% rental income as rates are around 5%. Also should I switch to interest only BTL as to also help with how much we can borrow on the new mortgage?
I will be buying a house with my fiancee around Feb 2016 and I will be selling my house that I currently live in and I will be getting a joint mortgage with my fiancee.
My question is when I get a mortgage with my fiancee will the mortgage that I have on my house that I let affect how much we can borrow for my new mortgage? will lenders treat this rental income differently if I change to a buy to let mortgage from consent to let?
If I change the mortgage on my rented house to a buy to let I could get a 80% LTV and would be able to meet the 125% rental income as rates are around 5%. Also should I switch to interest only BTL as to also help with how much we can borrow on the new mortgage?
0
Comments
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Yes it will affect your options.
The situation as is, will be a particular problem.
A buy to let re-mortgage will help.
When the time comes, use a mortgage broker.I am a Mortgage Broker
You should note that this site doesn't check my status as a Mortgage Broker, 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
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