Buy To Let Remortgages
If you have one or more buy to let mortgages and you want to maximise your income, buy to let remortgaging, which involves switching mortgage lender either to reduce costs or to borrow more (Securing short term debts against your home could increase the term over which they are paid and therefore increase the overall amount payable) is well worth investigating through Mortgage Meadow.
Buy-to-let re mortgages have become very popular as more and more people in the UK now own second homes as investments. Buy-to-let mortgages differ from residential mortgages in that the amount banks or building societies will lend is typically assessed upon the expected rental income of the property rather than personal income. It is usual for no more than 85% of the purchase price to be available on a buy-to-let mortgage, meaning that you will need a minimum of a 15% deposit. Lenders may also impose other restrictions on applications for a buy-to-let mortgage such as having UK residency, being over 21 years old and being an existing homeowner. It is also expected that the property will be of a good standard, and will be easily rentable.
Usually the interest rates offered on Buy to let mortgages willl be slighly higher than residential mortgages. This is due to the view that Buy to Let mortgages involve a greater risk than residential mortgages. Upfront fees will also be more expensive. This is because there is more work involved by lenders, solictors and surveyors when the purchase involves a buy to let property rather than a residential owner occupied property.
Buy To Let investments have become very popular in the UK over the last five years or so, as house prices have increased. Another reason for their popularity is the tax advantages that are available to Buy To Let investors.
At Mortgage Meadow we have strong links with a large number of lenders putting you in a better position to secure a buy to let remortgage than by you searching the market alone. We are experts, so can find you the most suitable mortgage to fit your circumstances. We can talk through deals with the decision-makers in person and explain to them your situation. Having this relationship with lenders means that they can take an individual view on your particular circumstances and are more likely to agree the loan as a result.
For more information on Buy to let remortgages, please speak to one of our advisors now. Alternatively, visit our help area which contains detailed information on buy to let property investment.
Remember think carefully before securing other debts against your home. Your home may be repossessed if you do not keep up repayments on your mortgage
Your home may be repossessed if you do not keep up repayments on your mortgage.
In general Buy to Let mortgages are not regulated by the Financial Services Authority
| Type | Initial Rate | Duration | Subsequent Rate | Overall Cost for Comparison | Early repayment charges | Incentives |
| Fixed Rate | 5.49% | 31/01/2011 | 6.74% | 7.1% APR | 5% of the loan until 31/01/2011 | None |
| Tracker Rate | 5.59% | 31/12/2010 | 7.09% | 7.3% APR | None | None |
| Fixed Rate | 5.89% | 31/01/2012 | 6.74% | 7.0% APR | 5% of the loan to be paid until 31/01/2012 | None |
| Fixed Rate | 5.99% | 31/01/2014 | 6.74% | 6.9% APR | 7% of the loan to be paid until 31/01/2010, then 6% of the loan to be paid until 31.01/2011 | None |
| These pages are a summary of information and interest rates currently available to Mortgage Meadow. These products are subject to other criteria that may or may not mean they are available to you, depending on your individual circumstances. For a more accurate figure please contact Mortgage Meadow for a personalised illustration or use our online mortgage assistant. APR is calculated based on a £100k capital and interest mortgage over a term of 25 years, and figures are correct at the time of going to the Internet in October 2008. Information for this table has been taken from the Trigold Mortgage Sourcing system. | ||||||
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