At Advantage, we have years of experience with Buy to Let mortgages.
We understand that everyone’s circumstances are different when it comes to investing in a property, and we have arranged mortgages for the nervous first time investor, to the portfolio LTD company BTL professional.
Unlike a residential mortgage, BTL loans are based on the property’s profitability, i.e. how much rent it will generate offset against the cost of the loan. Some personal income will be taken into account but the viability of the investment is often the deciding factor.
Some lenders require your earned income to be at least £25,000. However, there are specialist lenders who do not have an income requirement, making it easier for someone on a low income to buy a property for investment, we can help you navigate the market.
Mortgage Eligibility Criteria can also differ from a standard residential mortgage. Generally, the following will impact the lender options:
- Your Age – Some BTL mortgage lenders refuse to deal with borrowers aged over 75 or under 21.
- Property type: Most lenders prefer borrowers with a standard property type, which basically means anything made from bricks and mortar. Buildings with non-standard features such as thatched roofs and timber frames, as well as listed buildings, are considered non-standard and therefore may require a specialist lender. If you are considering buying a flat, there are further considerations such as the number of flats in a block, the number of floors in the building etc.
- Whether you own property already: Some lenders require you to already be a homeowner for a set amount of time. This is known as the owner occupier clause.
- Deposit: Buy-to-let mortgages typically come with higher deposit requirements to standard residential home loans. Some lenders will accept a deposit as low as 15% of the purchase price, however the options will be limited. In general, if you have a 25% deposit, you should have access to a wider variety of lenders and products.
- Tenant Type & Tenancy Agreement – All mortgage lenders will need to know who you are intending to let the property to, and for how long their tenancy agreement will tie them in for. Generally speaking, the majority of lenders like ‘low risk’ tenants (Families, Professionals etc). If you are thinking of renting to Students, Department for Social Security or putting in place a long term agreement, you will need a specialist mortgage lender.
If you are considering buying a property for investment, are an experienced landlord already, or just want to discuss the market in general, please call us for a no obligation chat.
Some forms of Buy to Let Mortgages are not regulated by the Financial Conduct Authority
Call us on 0117 442 0604 or send us an email at firstname.lastname@example.org if you would like to find out more.
Our clients choose to trust us over the competition because of the way we conduct our business.
Did you know that not all mortgages are available through brokers? That’s why we’ll always let you know about any cheaper deals that we’re aware of when we make our recommendation. Nothing hidden here.
We exist not only for our clients but to make the world a better place in any little way we can. We participate in ‘micro-giving’ via a charitable organisation called Buy1Give1, to causes such as conservation and clean water.
All Advantage customers have their own Client Portal for secure exchange of information, messages and documents. However, we always tailor our services to suit you, whether face to face, telephone, email or carrier pigeon.
Whilst we have arranged finance for people in all situations, we have areas we think we excel in. If you are a contractor, self-employed, a first time buyer, an older borrower or have had credit issues, you should really call us.
The information contained in this website is subject to UK regulatory regime and is therefore intended for consumers based in the UK.
Our typical fee is £450 and only paid when your offer is produced. This means that if we’re unsuccessful in getting you the mortgage you won’t pay a fee, giving you the confidence you need from a broker.
Advantage Financial Solutions is a trading style of TRM Financial Ltd, an Appointed Representative of The Right Mortgage Ltd, which is authorised and regulated by the Financial Conduct Authority. Registered Office: 70 St. Johns Close, Knowle, Solihull, England, B93 0NH. Registered in England and Wales no. 09832887.