Investing in property is risky, so you shouldn’t take out a Buy To Let mortgage if you can’t afford to take the risk.
If you are thinking of buying a property as an investment, then getting the right mortgage could be the best move you make.
You see, ensuring you have a competitive mortgage deal could make all the difference to how successful your investment is.
How much can I borrow?
The amount you can borrow is linked to the amount of rental income you expect to receive as well as an assessment of your financial status.
There will almost certainly be times when a property is unoccupied and/or rent isn’t paid. It’s important to plan how the mortgage will be paid at these times.
Buy-to-let mortgages have some differences to Standard Mortgages.
- The fees tend to be higher.
- Interest rates are often higher.
- The deposit needed is usually higher, often 25% or more of the property’s value, although lower deposit mortgages are sometimes available.
- Most Buy to Let mortgages are interest-only and you need to have a plan in place to repay the capital in full.
As your local mortgage experts, we’ve got access to a wide range of buy to let mortgages and give expert advice on which one is right for your buy to let venture.
Most forms of buy to let mortgages are not regulated by the financial conduct authority.
We wrote a blog article about the future of Buy To Let Mortgages, which can be read here.