Buy to Let Mortgages
With hundreds of buy to let mortgages available, it’s not always easy to work out whether you’re on the ‘right’ deal.
Being a buy to let investor is a great way to invest, whether you are a first time landlord or you are an experience landlord. Embrace Financial Services have professionally qualified mortgage advisers that can support you through your mortgage options.
There are various different types of buy to let mortgages available and they will search on your behalf to find the best options to suit your needs.
When looking into a buy to let mortgage below are a few points to consider:
- Buy to let mortgage lenders will look at the rental income from the property and the applicant's annual income. Loan-to-value is typically 60% to 85% for buy to let mortgages.
- Your rental income will ideally need to be around 125% of the monthly mortgage payments.
- A buy to let mortgage is likely to be 1% to 2% more than a residential mortgage.
- For a buy to let interest only mortgage, the lender will normally base affordability on the rental income which will generally need to be 125% more than the monthly payments.
- If you are planning to create a lettings portfolio – some lenders will place a cap on the number of properties it will mortgage.
YOUR PROPERTY MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE. Embrace Financial Services usually charges a fee for mortgage advice. The amount of the fee will depend upon your circumstances and will be discussed and agreed with you at the earliest opportunity.