Buy to Let
Buy-to-Let
When you are in the position to be able to buy a property to rent out, you will need to start looking into buy-to-let mortgages. They are not the same as the conventional mortgages out there that you use to buy your own house, which means our research is important here. For a buy-to-let mortgage, you’ll need a larger deposit and you will face higher fees with a higher rate of interest.
Lenders calculate what you can borrow using a Rental Income Ratio calculation and all the lenders have different calculations. This is where the advisers at 1st Mortgage Services can really save you time, stress and hassle by doing all this for you.
1st Mortgage Services concentrates on finding the most suitable deals on buy-to-let mortgages for you, so that you can get the right information for your buy-to-let needs.
Interest
Buy-to-let mortgages are usually offered on an interest-only basis, meaning that the total amount you’ve borrowed will remain outstanding until the end of the mortgage term. The lender will then require you to repay the outstanding mortgage in full at the end of the term. Of course, a Capital & Interest repayment mortgage on buy-to-lets are available – however, lenders differ on their view on this, as generally there has to be a percentage profit between the monthly payment and the rental income received.
All mortgages have a loan-to-value figure – for a buy-to-let mortgage, you may need a deposit of 20% or more, depending on your current circumstances. The bigger the deposit you can offer, the lower the monthly repayments you will pay.
As a landlord, don’t forget to factor in the fees you will need to pay should you rent your property out straight away. There is tax to consider on your rental income as well as landlord’s insurance, rent insurance and letting agent fees. You should also allow for a contingency to be saved each month to cover any rental voids that could occur in the future.
1st Mortgage Services can help you to find the most suitable buy-to-let mortgage for your budget, so call us today on 01845 501830 for more information.
Experiencing Financial Difficulty?
If you are experiencing financial difficulty and struggling to make repayments, then you can contact your lender who may be able to help taking account of your individual circumstances.
You may want to contact one of the free impartial money guidance and debt advice services such as StepChange, Citizens Advice, or Turn2Us.
What our clients are saying
Benefits of Being With the Business
Considering succession planning can be overwhelming, especially when trying to navigate industry compliance and changes. However, I found a solution that not only alleviated these concerns but also offered valuable support for my clients.
By meeting with Julie Gilbert at First Mortgage Services, I discovered the advantages of fully onboarding with them. They provide access to additional resources, such as an administrator and regular sales meetings. This support allowed me to not only continue advising my clients but also have more time for my family.
When the time comes for succession planning, I can make the decision to continue advising without feeling pressured or rushed.
If you're in need of succession planning or considering onboarding, I highly recommend First Mortgage Services. They have the expertise and support to make the transition seamless and beneficial for all parties involved.
1st Mortgage Services is a lovely place to operate under as a mortgage and protection intermediary. They have a positive and forward-thinking attitude and a great team around you to support all aspects of the job.
I have personally gained a vast amount of experience from my time with the company and have benefited greatly from the shared experience of the whole team. The support of the marketing and paraplanning departments helps greatly with managing workload while ensuring industry standards are adhered to.
The team were all very welcoming and I have always felt at home since joining. It really makes a difference to have that positive working environment with other individuals and to feel part of a team, and 1st Mortgage Services has always had that for me.
Since joining 1st Mortgage Services, I have felt a level of support in growing my business I have not had before. Julie constantly thinks of new ways to generate business, keep engaged with local business’ and promotes the company in various different ways so we are never really out of people sight.
The recent regulatory changes haven’t been a challenge as the support we get from our colleagues, in admin and para planning are fantastic. So we are always on top of our cases and clients constantly kept up to date. This just means everyone who steps foot through our door gets the best possible service in all areas of the advice process from start to finish.
Speak to Us
We specialise in finding suitable mortgages for our clients from a curated list of over 65 lenders. We’ve done the hard work – we’ve already built fantastic relationships with these lenders, so you don’t have to. Our service is completely tailored to fit your requirements. We cater for most parts of the mortgage market and clients nationwide.
To inquire about succession planning or onboarding, reach out to us by email or phone.
- 01845 501830
- info@1stmortgageservices.co.uk
