Buy to Let Mortgages
Severnside Mortgages have excelled in the Buy to let mortgage market throughout the economic downturn. We have successfully managed to place mortgages with lenders amongst the evermore restrictive criteria and with fewer products available. We have access to the many lenders who do not offer Buy to let mortgages on the high street so you get access to the whole market and there is no fee for our advice.
Please be assured that whether you are purchasing your first property buy to let property, expanding your portfolio or remortgaging for a new rate, Severnside Mortgages will exceed your expectations in both levels of service and advice. Buy to let mortgages are on the whole currently unregulated by the FSA. You can however have piece of mind that with the backing of our compliance network, the mortgage advice you receive is treated with the same level of diligence as a regulated residential mortgage.
Key care principles for our Buy to Let Clients
- Make understanding your objectives Number 1
- Understand the need for urgency and priority cases
- Contactable when you need us
- Experience in Lender processing helps with difficult cases
- No fee mortgage advice
- Whole of Market
- Knowledge of Houses of Multiple Occupation (HMO) and more restrictive criteria
- Access to specialist mortgage packagers and lenders not available direct to the public
- Constant analysis of lender criteria for placing mortgages
- Exceptional levels of customer service
- Access to dedicated intermediary only Conveyancing Solicitors to save you money
Buy to let mortgages in brief
For those considering a Buy to Let mortgage and those who haven't had to remortgage until now, in the current economic climate it is now necessary to have a 20% deposit to be able to invest in a Buy to Let mortgage. This is a recent decrease in the amount of equity needed from 25% throughout 2009 and the first quarter of 2010, and is excellent news for people either looking to remortgage and couldn't due to falling house prices or those looking to purchase that were struggling to achieve a 25% deposit.
However, the property must still be able to generate in rent 125% of its monthly interest payment i.e. a mortgage interest payment of £400 would therefore require a rental income of £500 per month. There are a few Lenders that will accept 115%, but as lenders will view this as a higher risk to them, this will reflect in a higher interest mortgage rate. As is with any mortgage the larger the deposit ie the smaller the loan to value, the better the interest rate you will be offered.
