BTL Mortgages Eligibility

remorseless

is the credit criteria the same as regular mortgages?
As in, better not to make an application at least 6 months after a credit card application or are BTL a different game all together?

Caladan

Who told you not to apply for a Mortgage for at least 6 months after a credit card app? The harm is running several apps in a short period of time. 6 months is a strangely long time to wait...

Buy to Let lenders will still run a credit search, although lending criteria is usually different to residential Mortgages.

HappyMJ

remorseless wrote: »

is the credit criteria the same as regular mortgages?
As in, better not to make an application at least 6 months after a credit card application or are BTL a different game all together?

It's a bit different but you still need a good credit history. 6 months is quite a long time. Personally I wouldn't apply for credit between the time you make an offer on a house up until completion. If you applied for a credit card last week then find an ideal investment property next week I really wouldn't worry about that.

remorseless

Thank you both (HappyMJ and Caladan)!

I did apply for a CC from Barclays in June but got rejected (after their soft search told me I had 90% chances!!!) because I have a short credit history in the UK.

I applied from a Capital One CC in January (first CC in the UK) to build a credit profile.

My credit file is fine, just the lack of history, but all bills are always paid on time. Maybe I should wait till Dec or Jan 16!

kingstreet

Stop believing everyone in the UK has a common credit score and paying £15 to Experian or Equifax every month is a good idea.

They don't and it isn't.

Lenders work from the raw data from your credit file depending on which CRA they source from. It they are Equifax only, what is on Experian will be invisible to them and vice versa.

Caz3121

Do you already have a property in the UK? Not many lenders will do a BTL if you don't already own a residential property

remorseless

Caz3121 wrote: »

Do you already have a property in the UK? Not many lenders will do a BTL if you don't already own a residential property

That, out of the many tales on how to get a mortgage in the UK, is the first time I hear!!!!

Thrugelmir

remorseless wrote: »

I did apply for a CC from Barclays in June but got rejected (after their soft search told me I had 90% chances!!!) because I have a short credit history in the UK.

I applied from a Capital One CC in January (first CC in the UK) to build a credit profile.

Obtaining multiple cards doesn't increase your score. Using one sensibly and responsibly is all that's required. Time is the biggest factor.

Caz3121

remorseless wrote: »

That, out of the many tales on how to get a mortgage in the UK, is the first time I hear!!!!

An article gives some background
http://www.telegraph.co.uk/finance/personalfinance/borrowing/mortgages/11031884/Desperate-first-time-buyers-warned-over-attempts-to-use-buy-to-let-mortgages.html

remorseless

Caz3121 wrote: »

An article gives some background
http://www.telegraph.co.uk/finance/personalfinance/borrowing/mortgages/11031884/Desperate-first-time-buyers-warned-over-attempts-to-use-buy-to-let-mortgages.html

Pheew - lucky I can read! Headline starts with "Desperate first-time buyers warned over attempts to use buy-to-let mortgages"

It has nothing to with needing an existing property as a collateral...

amnblog

I don't believe anyone said anything about using existing property as collateral.

The point was made that BTL lenders want borrowers to own their own homes in the UK with few exceptions.

Your Avatar suggests it is also worth mentioning that not having permanent right to reside in the UK is also a problem.