UK Landlord Forum / Life

Just got my first buy to let flat ready. There is no mortgage on it. just wondered could I get an interest only mortgage on a second property based on rental income only on the flat, without taking my earnings into account. Due to new business venture earnings low. Thanks in advance.

No.

I would leave it at that, but it would appear rude, but that is the answer.

You could have in 2004, but not now.

Well I say no, what I mean is, at anything below a 10% interest rate, No.

Your only option is a BTL mortgage based on minimum £25k salary, and 60% LTV ish, charging about 3.5% over a 20 term, repayment only.

Ok thanks boboff. Ill have to look my other options. I suppose I could get a personal loan of £25000 and use that, or would that be a bad idea?

If you want capital, why not mortgage this property? Am I missing something obvious?

Hi hippogriff that's what I want to do but my earnings are not very high at the moment that's why I asked about using the rent from the property to pay the mortgage. Or could I still get a mortgage on the property any way? Bit of a newbie sorry for the basic questions

You're nice, I like you.

But I would not  lend you any money and nor will a bank.

Sorry.

Its odd really, you need to earn £25k a year before you will get any decent way of mortgaging this property.

It's tough, it could be worth talking to a Broker... they should be able to tell you, pretty quickly, what your chances are and what Lenders would consider this. I've never used a Broker for mortgages, but I do all the time for my insurance... and I think it's worth the small amount of commission.

Thanks for the replys  spoke to my accountant and he also says about the 25k needed. He has gave a number for a broker says he may be able to help. I do have a fair bit in savings some in the stock market which has performed quite well the last few years, so did not really want to use that. Ill see what the mortgage broker comes up with. Again thanks for comments