What’s involved with becoming a landlord? Will you need a big deposit to buy a second property?
A buy to let property is a property you wish to own, but rent to tenants. You are not allowed to legally live in the property. If you are a First Time Buyer you can purchase a buy to let property, but there are only a small group of lenders who make such loans, and additional checks are made due to these particular circumstances.
Whether you are considering buying a second property or have an existing portfolio of properties, you may struggle to understand the rules relating to buy to let mortgages. Getting the best possible mortgage deal can make all the difference in making your investment a viable one.
Considerations that come into effect for buy to let mortgages that do not apply to regular mortgage borrowing include:
The amount of money you can borrow is largely dependent on how much rental income you will get from the property.
You will be required to pay an additional Stamp Duty on top of regular stamp duty, even if the property is valued below the lowest property value on which stamp duty normally becomes liable.
Gareth will be able to help you make the best decision on your buy to let borrowing – get in touch today!