Rough mortgage estimate when collateral property is included?

The_Walker

Does anyone have an idea roughly what kind of mortgage could be obtained using these figures?  - 

Annual Salary - £30K
Cash deposit - £70K
Cash bought flat worth £200K (£800 monthly rental income)

There are mortgage calculators online of course, but I haven't seen one that allows other factors to be included? I just wondered off the top of your head someone might have an idea?

cheers

Thrugelmir

What factors are missing from the calculators? 

eddddy

There's no concept of "collateral property" when you apply for a mortgage.

• I think you're saying you own a flat (with no mortgage) worth £200k - plus you have savings of £70k.

• So for example, you could take out a mortgage on the flat you currently own to raise, say, £100k.

• Then you'd have £100k plus your £70k savings = £170k to buy another property.

But you'd have to pass the mortgage lender's affordability tests.

You could even take out mortgages on both properties, if you can pass the affordability tests.


What would you use the 2 properties for? If one is for you to live in, you'd need a residential mortgage. If the other is to rent out, you'd need a BTL mortgage.