How to Find the Right Buy to Let Mortgage?
To get a good deal with buy to let mortgage that exactly meets your requirements is a little difficult for your success. With the ever prospering real estate industry, the buy to let mortgage has substantially boomed, paving way for a lot of lenders to bring out the demanded products, thus to make the borrowing money to invest in a very simplified manner.
In the present mortgage industry, there are several buy to let mortgage plans available in market, beginning from fixed rates, discounted variable rates, base rate trackers to others. The application of these products differs, depending on the different investment properties. However, getting proper guidance with your finance is of utmost necessity. Here is the list of questions worth considering while buying a desirable buy to let mortgage:
Whether as an investor, you are getting the exact guidance to access various buy to let plans in the same market place?
Whether they are able to arrange a buy to let mortgages within 10 days?
Whether they have the ability to create a strategy for a long term investment property?
Are they capable of securing exclusive buy to let plans?
Usually the lenders offer a maximum loan amount of 85% where you need to fund a deposit of at least 15%. In the present highly competitive buy to let mortgage industry, new products are frequently launched. Some brokers charge a brokerage fee up to an amount of 2%, thus arranging the buy to let finance. As a landlord, it could be very beneficial for your cash flow.
Here are few points to consider before opting for a buy to let mortgage:
Never borrow money more than the amount you can actually afford.
So if you are a first time borrower, you require to provide the lenders a little more proof than actually you can afford for repayments.
If you can assure the first time borrower with a strong projected income estimate then you are always in a better position.
Thus with the fixed rate for buy to let mortgages, you can have a larger deposit sometimes more than 20% to 25% of the total value of the mortgage.
Generally the lenders offer a maximum loan amount of 85%, which is against the investment property for sales. This makes you to fund at least 15% deposit. So if you have a higher deposit available, some buy to let mortgage lenders will offer you with the best rates.
Now you must be wondering what would be my obvious step if you don’t have a deposit?
The answer is, if you are going to invest in your first time buy to let investment property then you could look for some release of equity from your personal residential property. Thus to acquire details on the idea, contact your present lender and check how smoothly you can start your investment property portfolio. Once you become sure that you are in a good financial position, start on your first buy to let purchase, you will understand what are the options available for you.
Thus the best buy to let mortgages are straight forward investment decision for buying a property, to relieve a rental income from it.
For more information : http://www.severnsidemortgages.co.uk/buy-to-let
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