Buy to Let mortgages – from Exclusive Financial – we have always specialised in offering advice on Buy To Let mortgages. People often look to purchase additional properties as an investment or to supplement future pension requirements.
We can source a wide range of buy-to-let mortgages from across the market, designed to meet the needs of most buy-to-let investors.
Buy to Let mortgages are offered on different terms to residential mortgages. Lending on Buy to lets is generally related to the rent that is expected from the property, and is generally arranged on interest-only basis to maximise monthly profit.
Buy to Let is typically a long term investment that you hope will generate rental income along the way and a profit when you sell the property, but bear in mind that if you need access to some cash a property can take time to sell or re-mortgage.
If house prices fall, you might not be able to sell for as much as you had hoped. You would have to make up the difference if the property sold for less than you owe – a risk that increases, the higher the percentage you borrow. If you sell for a profit, you may have to pay capital gains tax.
Don’t forget that with a variable rate mortgage, your costs will rise if interest rates go up. This would eat into, or even wipe out, your income and profit.
- A mortgage is a loan secured against your home or property. Your home or property may be repossessed if you do not keep up repayments on your mortgage or any other debt secured on it.
- You may have to pay an early repayment charge to your existing lender if you remortgage.