[col type=”one-third”]
Our property investment expert is Jeni Browne, Sales Director at
Mortgages for Business
www.mortgagesforbusiness.co.uk
Tel: 0345 345 6788
[/col]
[col type=”two-third last”]
Question
What’s the longest term available?
I am looking for a buy-to-let mortgage which I hope to pass on to my children eventually. What’s the longest term available?
I was hoping to find a 40-year term but I suspect these may be rare. Thanks in advance.
Answer
40 years is available from some buy-to-let lenders, although if you can settle with 25 years you will find there is more choice. Your age will also impact the maximum term; some lenders will not lend beyond your 75th birthday, others can go longer, so it’s worth keeping this in mind.
My last point here would be that it is quite rare for a borrower to stick with the same lender for the life of the mortgage, so even if you took a 25-year term now, you could look to extend the end date when you remortgage down the line.
[hr style=”single”]
Question
Expat mortgages – how do I apply?
I moved to the south of Spain in 2016 with my husband having been born and bred in England – South East London to be precise. I am nearly 60 but I would really like to buy a house to let out in England as I know the buy-to-let market is booming.
I have heard a bit about ex-pat mortgages but I understand they are not readily available. Therefore, I would value some guidance on how to go about applying for one.
Do I need to speak to a mortgage adviser in the UK or are there agents in Europe and are there any restrictions on buy-to-let expats mortgages? Also what sort of deposit would I require?
Answer
Quite a few lenders who can offer buy-to-let mortgages to ex-pats. These are either UK based or offshore lenders who have a presence in the UK.
To save you a lot of time, I would suggest you let a UK based broker help you on this – if you do some googling you will find brokers who have experience in the ex-pat market.
As a guide, you will need a 25% deposit, although a couple of lenders need just 20%.
[hr style=”single”]
Question
Increasing the rent – will it change the mortgage repayments?
We have been renting a lovely house out for three years now to a family from the US and we have been using a five-year fixed rate mortgage.
Unfortunately, our tenants are moving back to the US in June and we will therefore need to look for new tenants.
We have noticed the rental market has picked up in the area since we began letting the property and we are thinking of raising the rent. Would we need to discuss with our mortgage lender, and will this impact our repayments?
Answer
I know how precious good tenants are, so I hope you are always this fortunate!
So, the very short answer is that no, if your rent increases, you do not need to tell your current lender about this, and there will be no impact on your mortgage – just a bit more profit for you each month.
[hr style=”single”]
Question
Getting a mortgage when I’m self-employed
I own a residential property with my husband but also have a buy-to-let which I want to sell as there’s a service charge which is expensive.
I want to reinvest the money from the sale into a new buy-to-let and because I already have a mortgage on the current BTL property I believe I would have approximately 60% to put down as a deposit on the new one. The problem is I am self-employed so I am not sure I will be able to get a buy-to-let mortgage. Please help!
Answer
Please do not listen to the rumours – getting a mortgage when you are self-employed is fine! Around 70% of my clients are self-employed, and this is never a barrier, so really, do not worry.
Do make sure you have your paperwork in order (i.e., your tax returns are up to date and available to share), but otherwise, you should have no issues.
[hr style=”single”]
[/col]
