Let to Buy
You don't have to sell your current property to move property.
The advantage of let-to-buy i.e. renting out your current property and purchasing a new property to move into - is that the owner knows all about the property he or she will be renting out, reducing the chances of the property being empty.
Many client do not like to sell their current property as they have seen it increase in value over the years. The potential rental income generated from the property could more than cover their monthly mortgage payments.
As they are familiar with the residential area in which their existing property is located, they know the strength of rental demand in the area, that the local facilities are good and, having lived in the property, the chances are it is well decorated and in little need of further cosmetic work prior to future tenants moving in.A huge advantage of a let-to-buy arrangement is that it allows you to re-mortgage your current property, enabling you to release equity which can fund the deposit on your new home.
Mayfair Consulting has a range of products suitable for let-to-buy mortgages. Most products allow you to borrow up to 90% on the property you wish to let out.On usual let to buy scheme we re-mortgage the client's current property to a buy to let mortgage (this would also enable the client to release any equity they have in the property to be used as a deposit towards the new purchase) and take out a purchase mortgage on the new property.
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.
