More people are buying property as an investment to let out and receive a regular monthly income. It is a very popular way of saving money for the future and put towards a retirement fund.
Many lenders offer tailor made packages for this market, with each having its own merits and pitfalls. Generally rates for buy to let mortgages are higher than for residential mortgages and there are normally arrangement fees to pay.
You will normally require a deposit of at least 15% (although dependant upon fee's some lenders accept a 10% deposit) and the loan amount is usually determined by the amount of rental income which you expect to achieve.
Lenders have different ways of calculating the amount of rent you need to achieve but as a general rule the amount of rent will have to be higher than the monthly mortgage payment.
It maybe that you are considering purchasing a property for your first buy to let project, looking to re-mortgage a buy to let property that you already have or you are an experienced buy to let individual with a portfolio.
Contact £ibra Financial Services Ltd who can help you find the best deal to suit your circumstances.
Buy to let products are not regulated by the Financial Services Authority.
