I would like to buy my first Buy to Let property

Entering the world of property investing is an exciting time, and like any property purchase, the first steps taken should be towards acquiring the appropriate financing.

In many ways, buy-to-let mortgages (also termed BTL mortgages) are similar to mortgages offered on primary residences, although there are some important differences. At My Mortgage Force, we have several years of helping people take their first steps into the letting market, and we can use this to help you find the right mortgage for your first buy to let venture.

About buy-to-let mortgages

Most BTL mortgages tend to be interest only, meaning you only repay the interest each month and not the sum borrowed against the property itself. These repayments should ideally be covered by your rental income, and so running the numbers before taking the plunge is crucial to ensure you end up making a profit. As these mortgages are interest only, the rates of interest do tend to be higher than on standard mortgages, as do the fees.

While lenders may require as little as a 5 per cent deposit from first-time buyers, for a BTL mortgage, you will be required to provide anywhere from 20-40 per cent of the property’s value. In most cases, being a current property owner will strengthen your chances of successfully getting a buy to let mortgage. Lenders will look at the state of repayments on your current mortgage to ensure you are financially capable of taking on a rental property, and as a full credit check will be run, you’ll need to have things like credit card and personal loan repayments in good standing as well.

In addition to helping you understand the lending criteria and restrictions surrounding BTL mortgages, our advisers can show you the different options available to you and provide advice about which product will best suit your investing needs.

My Mortgage Force can help

It is important to note that the vast majority of BTL mortgages are unregulated, with a few being regulated under certain circumstances.

If you are entering into an unregulated mortgage, it’s important to seek the expert and impartial advice of a broker that can steer you clear of being missold and not receiving the most appropriate mortgage for your needs. At My Mortgage Force, we have been specialising in the area of buy to let for many years, and our experience can prove invaluable for first-time investors especially.

To find out more about how we can help you select the most appropriate mortgage for your first rental property, give us a call today.