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Free Property Advice - Buy To Let Mortgages

Most mortgage lenders now offer specific Buy To Let products, which do usually cost more than the mortgage you may have got to finance the purchase of your own home.

Lenders will often be looking for a deposit from of between 15% and 25%.

There are also a number of methods by which they arrive at the amount of money that they are prepared to lend you. The methods vary between lenders, but one common way is to require proof from you that the rental income on a buy to let property will match 125% of the monthly mortgage repayments. A letter from a letting agent would suffice in that case.

Incidentally, some lenders require assurances that the letting will be managed by a registered letting agent, as this will offer guarantees that the mortgage will be paid whether it has a tenant or not.

Other lenders will use a formula combining your own income with the likely rental income to calculate a maximum amount available to you as a loan.

Please see an independent mortgage adviser for information and remember that your property will be at risk if you do not keep up monthly repayments on it.