Buy to let mortgage/residential mortgage

6 Posts

Hi all
Sorry, I didn't know if this was better to go in the mortgage section or house buying section, so apologies if it's in the wrong place.
DH and I are looking to buy a property that is coming up on the market any day now, we know how much they want etc but they'd rather go via estate agent - fair enough..
We want to purchase as a retirement investment and so that my elderly parents can be round the corner from me at some point in the future if they needed to move into a smaller property for any reason.
There is also another property coming onto the market in the next 6 months that we love, and ideally we would like to keep both properties and rent out the first one. We would however move to the first one for a few months to get it up to spec as it needs a bit of work.
The plan was to apply for a BTL mortgage straight away and then we wouldn't have to worry about moving it to a BTL when we move/fees etc
However, I've been reading up on BTL mortgages and most places state you can't live in a BTL.... so we would have to get a residential mortgage. I've also read that you can't transfer to a BTL mortgage until you've lived in the property for 6 months to a year? If we get a fixed rate residential mortgage there would be fees for ERC as we would technically have to get rid of that product and move to a new one?
I'm also concerned about the credit score/check if we are buying two properties in such a short space of time.
Has anyone ever done this? What would be the most sensible way to go about it, does anyone know?
Sorry, I didn't know if this was better to go in the mortgage section or house buying section, so apologies if it's in the wrong place.
DH and I are looking to buy a property that is coming up on the market any day now, we know how much they want etc but they'd rather go via estate agent - fair enough..
We want to purchase as a retirement investment and so that my elderly parents can be round the corner from me at some point in the future if they needed to move into a smaller property for any reason.
There is also another property coming onto the market in the next 6 months that we love, and ideally we would like to keep both properties and rent out the first one. We would however move to the first one for a few months to get it up to spec as it needs a bit of work.
The plan was to apply for a BTL mortgage straight away and then we wouldn't have to worry about moving it to a BTL when we move/fees etc
However, I've been reading up on BTL mortgages and most places state you can't live in a BTL.... so we would have to get a residential mortgage. I've also read that you can't transfer to a BTL mortgage until you've lived in the property for 6 months to a year? If we get a fixed rate residential mortgage there would be fees for ERC as we would technically have to get rid of that product and move to a new one?
I'm also concerned about the credit score/check if we are buying two properties in such a short space of time.
Has anyone ever done this? What would be the most sensible way to go about it, does anyone know?
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Trackers are available with No ERC s for when you want to move onto your next home and rent out the one you hope to buy.
Your right you can't buy a property with a BTL mortgage and move yourself into it.
Now has the property got a working kitchen and bathroom ? Needed to get a mortgage