I was told I couldn't get a buy to let mortgage without an income but it's not true you can!

Legacy_user

I was told by many brokers that I couldn't buy a buy to let house because I had no taxable income. This has turned out to be incorrect and I am wanting to share this information with anybody who might be in my situation.

Bank of Ireland require no proof of income they just require you live in a house you own ie your residential home
The mortgage works don't care either they just need to know you have six months experience of being a landlord
Shawbrooks have no minimum income requirements either but probably want you to earn a bit at least probably 5k - 8k

Best value bridging loans are from
Lendinvest who charge .55% per month on less than 50% loan to value with 1% arrangement fee and legal charges of £750
They are super cheap compared to others and compared to going through a broker you can save many many thousands of pounds.

If you choose a broker do not take what they say as being accurate as in my experience they made many mistakes. So talk to at least three in the same way you would get three quotes from a builder!

I've saved over £5,000 from this one transaction

If the mods need to move it to the broker section or different section then fair enough but I saved so much money, and was given so much wrong information via brokers that I thought this would be the most valuable place where people could actually see how I saved massive broker fees by going direct and research this themselves and also save thousands of pounds.

Pixie5740

paranoidandroid31978 wrote: »

I was told by many brokers that I couldn't buy a buy to let house because I had no taxable income. This has turned out to be incorrect and I am wanting to share this information with anybody who might be in my situation.

Bank of Ireland require no proof of income they just require you live in a house you own ie your residential home
The mortgage works don't care either they just need to know you have six months experience of being a landlord
Shawbrooks have no minimum income requirements either but probably want you to earn a bit at least probably 5k - 8k
Here is a youtube link to a broker who tells you that it can be done

https://www.youtube.com/watch?v=Z2dZm_ijiZU

Please do not take any notice of the guy who is a property guru. I distrust any property guru they talk rubbish and are likely to take your money and leave you with nothing. The broker is interesting though because he talks about getting buy to let with no income or living at home or having limited income.

I included the above bit so it's clear the point of the link is to focus on what the "broker says" not the property guru!!!!

Have you been offered a BTL mortgage by one of the lenders you mention?

Dorian1958

Even if it was possible, buying a BTL without any other means of paying the mortgage other than the rent, is the road to ruin.

need_an_answer

Sorry is this a topic for debate or a real dilemma?

If its a debate I'll get a board guide to move it to a more appropriate board.

on the other hand if you really have a million sat in a bank account and then require addition mortgage funds.....

need_an_answer

so its a debate....?

kingstreet

If you'd posted a question on M&E any of the brokers who post there could have told you there isn't always a requirement for proof of income for a BTL purchase.

Having no income and having no proof of income aren't necessarily the same thing, by the way.

Comms69

paranoidandroid31978 wrote: »

No it isn't. That's just your opinion. - So far you've posted nothing BUT your own opinion. What if you've got a million pounds in the bank in cash. That means you've got no income. - Does it? I'm pretty sure banks still pay interest... Are you telling me that person is on the road to ruin because they invest in buy to let? I don't think so. - Why would someone with a million pounds get a mortgage for a BTL....

You can also ring fence money to put asside for home improvements, voids and other unexpected situations and have low loan to value. You just have to look at the overall indivdiual picture. You can't make sweeping statements they are meaningless. - Someones been watching too many of those 'Hi my name's Paul' videos

The truth is even if a person did have income what if all that income was used up every month which means even if something did happen like a void they wouldn't be able to do anything. - yes. Banks are incredibly stupid when it comes to lending money - that is literally what you're saying.

You have to have a proper plan of course

It's like me saying anybody who has a glass of wine is on the road to ruin....

Please don't become a landlord.

Comms69

paranoidandroid31978 wrote: »

Yes I have. The mortgage works requires you to have been a landlord for six months. Bank of Ireland do not ask for proof of income and there are others as well.

Funny yesterday you said you had NO mortgages for residential BTL https://forums.moneysavingexpert.com/discussion/5936874


And this morning you had no income
https://forums.moneysavingexpert.com/discussion/5937391


That portfolio is clearly performing well

Comms69

paranoidandroid31978 wrote: »

And where have I said that I have a mortage? Are you completely stupid or something??

Yes I'm the stupid one here.

need_an_answer

I've sent a request to move the thread to a more appropriate board....however I suspect its likely to be deleted long before it moves if the OP continues to think everyone else is stupid.


Silly season is clearly upon us.

Comms69

paranoidandroid31978 wrote: »

That's quite a stupid thing to say when you don't know me. Anybody who could make a statement based on a forum posting is making an ill informed statement.
I was using the point about a million pounds to illustrate where a person could have money and to disprove that it's not necessary a road to ruin.

People would use a million pounds as leverage. Where someone has money but no income.

Yes lenders quite often leverage against cash assets.... That notoriously difficult to move, spend or lose asset....


(trust me I'm being polite)