If you are looking to purchase a property to make money from rental income then the process starts by looking at finance options. Whilst you will typically need a larger deposit, there are several other aspects to consider too. Whether this is the first property or part of a portfolio, there are several options with regards to mortgages to ensure the best mortgage is secured.
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Most BTL mortgages will require a larger deposit, often around 20%-25%.
If you have several BTL properties then we can look to remortgage these together which saves you time and hassle.
One thing to consider when looking at an investment property as a landlord is that the purchase will attract a surcharge on the stamp duty rates of 5%. Stamp duty calculator: moneyhelper.org.uk
Whereas a residential mortgage considers income and expenditure for affordability, for a BTL motgage the rental income (either actual or projected for a new purchase) is used to determine the level of borrowing possible.
Whilst some lenders will require a landlord to either be a homeowner or experienced landlord, there are lots of lenders who will consider an investment property purchase as first time landlords or buyers.