UK Landlord Forum / Life

I have been a very slow and steady Landlord - I have unencumbered properties and 1 on a CTL from my Lender. I have been actively (though relaxed) searching for a proper BTL property for a few months now... made a few low-ball offers on some properties but not had a bite yet... still slogging away. I was looking at properties around £100,000 and I'd be looking to put down a £40,000 deposit to get the best deals. This would increase my 'portfolio' by 1.

However, I gather that there are financial offers out there whereby a [potential] Landlord can effectively agree a line of credit (like £500,000 or £1,000,000) with a Lender for the specific purposes of buying BTL properties. Has anyone on here had any experience of these kinds of approaches? I'm sure it's bread-and-butter for some Landlords, but I'm unsure who you even talk to about these things (apart from some Googling) and assume they're more specialised Lenders that might not be on the high street. With an approach like this, maybe it's possible for me to increase my portfolio by 3, 4 or 5.

I'd be interested in anyone's thoughts / experiences.

I think you would need some serious security for this sort of thing, plus you would have to pay a hefty arrangement fee, and even then your interest rate would not be great.

This sort of thing was common, ish, pre 2007, but I am not sure if it is now, so much.

You would need to seek out advice from a commercial finance specialist I reckon.

Good luck, let us know how you get on.

Yes, I thought so too... I do have 1 fully unencumbered property valued at ~£130,000 and bringing in £570 per month, I also have significant savings and a pretty good salary but I'm not sure whether those two count as security. I'm genuinely unsure what kind of calculations people will go through, and how it differs from a BTL mortgage, so more research needed.