Buy to Let Portfolio Finance
In the past decade property investment in the buy to let market has become increasing popular with many new landlords entering the market. With the recent EU expansion this sector sets to grow as rental demand by new migrant workers forms a nice cushion for the already saturated market.
Many clients use buy to let property investment as a means to boost their pension funding or as an alternative. The recent trend among clients has been to re-mortgage their main residence to a buy to let and buy a property abroad for retirement. However, the investment opportunities available in the buy to let market have also encouraged a number of investors to go beyond investing in just one property and to create a portfolio.
A client should weigh up the options whether it is better to continue with one mortgage for each property owned or arrange a single portfolio funding facility that covers all properties within their portfolio. The benefits of the latter are that clients no longer need to arrange a new mortgage for each new property and that rental cover is spread over the entire portfolio and not calculated separately for each property. The advantage of this concept is that any surplus rent on one property can be used to finance any deficit on another.
At Mayfair Consulting our detailed knowledge of lenders puts us in a perfect position to help clients. New mortgage products now yield a combination of rental cover and earned income to give the client the maximum loan. Some lenders will accept a letter from a lettings agent as a proof of rental cover.
If you are buying a whole block of flats from a developer then we have mortgage products that will lend on the valuation rather than the purchase price.Think carefully before securing other debts against your home.
Your home may be repossessed if you do not keep up repayments on your mortgage.
The overall cost for comparison is 7.1% APR. The actual rate available will depend upon your circumstances. Ask for a personalised illustration. There may be a fee for the mortgage advice. The precise amount will depend on your circumstances, but we estimate it will be 1.5% of the loan amount with a minimum fee of £500 added on to the loan.
Mayfair Consulting Limited is an Appointed Representative of The Mortgage Times Group Limited, 279 Tottenham Court Road, London , W1T 7RJ , which is authorised and regulated by the Financial Services Authority no. 303007.
