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  • FIRST POST
    • MSE Helen Saxon
    • By MSE Helen Saxon 27th May 14, 4:36 PM
    • 75Posts
    • 44Thanks
    MSE Helen Saxon
    The MSE Buy-to-Let Guide
    • #1
    • 27th May 14, 4:36 PM
    The MSE Buy-to-Let Guide 27th May 14 at 4:36 PM
    Hi!

    This is the discussion thread for the

    Buy-to-Let Mortgage printed guide.


    Click reply below to discuss. If you havenít already, join the forum to reply. If you arenít sure how it all works, read our New to Forum? Intro Guide.


    Thanks folks,
Page 1
  • LibertyBelle
    • #2
    • 29th May 14, 12:18 PM
    • #2
    • 29th May 14, 12:18 PM
    This seemed to cause a lot of debate on twitter but none here?

    Myself, tho understanding why MSE did it, it's kind of changed my view of the site, as I always thought it was about standing up for the little guy. I can see there is scope for a guide I just found it, kind of disappointing.
    • ViolaLass
    • By ViolaLass 4th Jun 14, 9:04 AM
    • 5,579 Posts
    • 7,698 Thanks
    ViolaLass
    • #3
    • 4th Jun 14, 9:04 AM
    • #3
    • 4th Jun 14, 9:04 AM
    The little guy isn't allowed to own a BTL?
  • Georgeseba
    • #4
    • 1st Sep 15, 10:57 AM
    • #4
    • 1st Sep 15, 10:57 AM
    HI there, I am fairly new to this site so hope I am posting in the appropriate place. My folks live in a property I own. I currently have the mortgage in my name and they live there without paying rent or being subject to a tenancy agreement. My mortgage company tried to switch me to a buy-to-let rate but I had my folks sign a piece of paper waiving rights to be in the property.

    The rate is pretty bad in its own right (5.9%) so, with some equity in the property, I am now considering remortgaging on to a buy-to-let mortgage with a proper provider - I had not appreciated the new rules that came in during April this year that mean you cannot get a buy-to-let mortgage with family members resident in the property. Not even if you have them sign up to a proper tenancy agreement.

    Has anyone got any experience on how to handle this? It seems fairly daft and right now my only real angle of attack seems to be to turf my folks out! Either that or apply to remortgage but then I would be doing that with people in the house and I'd struggle to say it was my main property (although it would be the only property I own as I rent my family property).

    Grateful for any thoughts/creativity!
    • silvercar
    • By silvercar 1st Sep 15, 11:23 AM
    • 39,000 Posts
    • 162,549 Thanks
    silvercar
    • #5
    • 1st Sep 15, 11:23 AM
    • #5
    • 1st Sep 15, 11:23 AM
    I had not appreciated the new rules that came in during April this year that mean you cannot get a buy-to-let mortgage with family members resident in the property.
    That isn't new.

    Creativity: Move in and get a residential mortgage.
    • Churchpolly
    • By Churchpolly 2nd Dec 15, 10:57 AM
    • 81 Posts
    • 44 Thanks
    Churchpolly
    • #6
    • 2nd Dec 15, 10:57 AM
    older btl owners
    • #6
    • 2nd Dec 15, 10:57 AM
    hi, we would like to invest in another btl to boost our pension but find providers aren't interested in older people - any advice welcome please.
    • Oasis1
    • By Oasis1 6th Feb 16, 9:16 AM
    • 452 Posts
    • 414 Thanks
    Oasis1
    • #7
    • 6th Feb 16, 9:16 AM
    • #7
    • 6th Feb 16, 9:16 AM
    And through reading this guide I've only just found out you can't "buy to let" your first home. Sigh.

    • silvercar
    • By silvercar 6th Feb 16, 10:04 AM
    • 39,000 Posts
    • 162,549 Thanks
    silvercar
    • #8
    • 6th Feb 16, 10:04 AM
    • #8
    • 6th Feb 16, 10:04 AM
    And through reading this guide I've only just found out you can't "buy to let" your first home. Sigh.
    Originally posted by Oasis1
    You can. Either by buying outright with no mortgage or by seeking a lender that will consider this. Only a few will do so (and I haven't a clue who they are) so you will need to find a broker who can assist you.
    • beach86
    • By beach86 10th Jul 16, 9:48 AM
    • 105 Posts
    • 31 Thanks
    beach86
    • #9
    • 10th Jul 16, 9:48 AM
    • #9
    • 10th Jul 16, 9:48 AM
    Any idea when the new guide will go live?

    In the meantime, can anyone recommend BTL brokers specializing in Expat Mortgages?
    Last edited by beach86; 10-07-2016 at 9:57 AM.
    • jhalsall
    • By jhalsall 4th Aug 16, 2:12 AM
    • 1 Posts
    • 0 Thanks
    jhalsall
    ExPat BTL Mortgages
    Try International Mortgage Plans based in Weybridges - simple google search will show their website. I have used them to remortgage a number of times and they are very good. Adrian Wright is the owner. Some years ago they arranged a BTL mortgage for us - not sure if they still have a product available but our mortgage rate is too high now so i'll be getting in contact with them myself.
    • amnblog
    • By amnblog 4th Aug 16, 6:03 AM
    • 11,061 Posts
    • 4,413 Thanks
    amnblog
    HI there, I am fairly new to this site so hope I am posting in the appropriate place. My folks live in a property I own. I currently have the mortgage in my name and they live there without paying rent or being subject to a tenancy agreement. My mortgage company tried to switch me to a buy-to-let rate but I had my folks sign a piece of paper waiving rights to be in the property.

    The rate is pretty bad in its own right (5.9%) so, with some equity in the property, I am now considering remortgaging on to a buy-to-let mortgage with a proper provider - I had not appreciated the new rules that came in during April this year that mean you cannot get a buy-to-let mortgage with family members resident in the property. Not even if you have them sign up to a proper tenancy agreement.

    Has anyone got any experience on how to handle this? It seems fairly daft and right now my only real angle of attack seems to be to turf my folks out! Either that or apply to remortgage but then I would be doing that with people in the house and I'd struggle to say it was my main property (although it would be the only property I own as I rent my family property).

    Grateful for any thoughts/creativity!
    Originally posted by Georgeseba
    There are lenders that will do this for you subject to affordability.

    Consult a decent 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.
    • sheri3466
    • By sheri3466 31st Aug 16, 7:46 AM
    • 3 Posts
    • 3 Thanks
    sheri3466
    I am in Scotland, and with about 10 years left to work before retiring, want to buy-to-let as an investment before I retire. Are there any pitfalls I should watch out for? Is this even a decent choice now for investing? Any help appreciated.
    • tacpot12
    • By tacpot12 31st Aug 16, 8:13 AM
    • 2,374 Posts
    • 2,106 Thanks
    tacpot12
    I think this is still a viable choice of investment. The housing supply problem isn't going to resolve itself for decades. So with property in short supply, it should always hold its value.

    The pitfalls to avoid are:
    Not making allowance for repairs and renewals when assessing the income a property will produce.
    Not saving the income tax into a seperate account/pot for when it is due to be paid.
    Not buying a property that is suited to the rental market in the area. (Take advice from the local letting agents as to what sort of accommodation is the there an on-going requirement for)
    Not considering allowing pets in exchange for a higher rent. (Pet owners will pay more and tend to stay longer because it is more difficult to find somewhere to move to if you have a pet. Dogs do cause more wear and tear, but the higher rent covers the cost of restoring the property to a lettable condition.)
    Not having a proper inventory of the items in the property and the property condition with photographs to prove this.
    Not understanding all the legal requirements. Gas/electrical safety, furniture fire safety, epc, legionella, health&safety, immigration status of tenants etc
    Not vetting tenants and taking references.

    A letting agent can help with some of these, but it helps if you understand what you are paying the agent for.
    • Churchpolly
    • By Churchpolly 1st Sep 16, 7:27 AM
    • 81 Posts
    • 44 Thanks
    Churchpolly
    buy to let advice
    Hi Sheri, I would advise joining the National Landlord Association as they have a great site and a telephone advice line which is excellent. Read up on the subject, choose a property that is well situated (with good transport links and demand for rental properties). I think a small house is a good bet, two bedrooms at least with a small garden or yard. I have two buy to lets and I choose my own tenants (very carefully, using the vetting service provided by the NLA which is thorough and far better than I could do myself). I also manage the houses myself which I think is better than using an agent. I visit both of them at six monthly intervals to inspect the property and chat to my tenants to see what, if any problems there are and agree any maintenance that needs to be done. Be a good landlord, carry out repairs promptly and your tenants will respond by staying with you. Unfurnished is best as tenants tend to stay longer and it cuts down on maintenance issues. Good luck. regards, Polly.
    • Cactusbullet
    • By Cactusbullet 9th Nov 16, 12:09 PM
    • 1 Posts
    • 0 Thanks
    Cactusbullet
    Mortgage advice
    I currently have a right to let on my residential mortgage. As I'm on the variable base rate of 4.49% at the moment, I'm looking into switching to a slightly lower fixed term buy to let mortgage. Can anyone see any possible pitfalls in doing this?
    • tracey29
    • By tracey29 16th Nov 16, 12:24 PM
    • 257 Posts
    • 492 Thanks
    tracey29
    Any advice?
    Hi

    I've currently got a flat that I own outright and has a tenant in and also a house which has a mortgage on it with a permission to let and is rented out.

    I contacted my current lender about taking a BTL on my house and they said my income wasn't enough to cover it (even though the rent from the house more than covers it).

    I'd like to move out of the area and buy somewhere else, does anyone have any advice on lenders to go to so I can get a BTL on both or just my house?

    Thanks
    • csgohan4
    • By csgohan4 16th Nov 16, 12:40 PM
    • 5,903 Posts
    • 3,880 Thanks
    csgohan4
    Hi

    I've currently got a flat that I own outright and has a tenant in and also a house which has a mortgage on it with a permission to let and is rented out.

    I contacted my current lender about taking a BTL on my house and they said my income wasn't enough to cover it (even though the rent from the house more than covers it).

    I'd like to move out of the area and buy somewhere else, does anyone have any advice on lenders to go to so I can get a BTL on both or just my house?

    Thanks
    Originally posted by tracey29
    You need a good broker
    "It is prudent when shopping for something important, not to limit yourself to Pound land/Estate Agents"
    • tracey29
    • By tracey29 16th Nov 16, 12:49 PM
    • 257 Posts
    • 492 Thanks
    tracey29
    You need a good broker
    Originally posted by csgohan4
    Would you suggest going through someone from an Estate Agent or finding someone independently?
    • firely2327
    • By firely2327 17th Feb 17, 7:57 PM
    • 135 Posts
    • 63 Thanks
    firely2327
    Not considering allowing pets in exchange for a higher rent. (Pet owners will pay more and tend to stay longer because it is more difficult to find somewhere to move to if you have a pet. Dogs do cause more wear and tear, but the higher rent covers the cost of restoring the property to a lettable condition.)
    .
    Originally posted by tacpot12
    As a pet owner, home owner (and prospective future landlord) I'm glad that someone is considering pet owners. It's true that it's difficult to find somewhere to rent if you have a pet and I would certainly be open to renting to pet owners.
    I have to partially disagree on the dogs being more destructive though, based on my experience. Aside from shedding fur and having balls of various sizes littered all over the kitchen, there's very little sign of dog in my house. Each room has kitty evidence however, from the scratches on the textured wallpaper up to knee height, fur on furniture, curtains, floors, and threads pulled up on mats and carpets, oh, and scratches in the furniture. Mine are indoor only however and even with scratch posts around the place tend to go for unintended surfaces.
    For anyone intending on renting to indoor cat owners I suggest the absence of textured wallpaper, and if furnished property no expensive furniture
    • thefunkygibbon
    • By thefunkygibbon 20th Mar 17, 7:58 PM
    • 36 Posts
    • 5 Thanks
    thefunkygibbon
    the point is that if you have pets you have the "potential" for them to ruin the house. just because you have pets and they are great and do not cause any damage etc (which is lovely) it isn't to say that your new tennent's rather angry pitbull isn't going to jump up and damage the front door every time someone knocks, or poop on the floor whenever it feels like it.

    as a landlord you have to at least take into account worst case scenario and not base your opinions solely on your idyllic situation.
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