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Free Property Advice - Let To Buy

Let To Buy Mortgages

Many of us are now familiar with Buy To Let schemes. These have become increasingly popular with investors in recent years, allowing the purchase of additional properties, with a mortgage safeguarded by predicted rental income.

But what is a Let To Buy mortgage?

Let To Buy simply means the opposite of a Buy To Let. The additional property you are purchasing is the one you will be living in, and your current abode is the one you will be renting out. So it is your current home on which you will need to get a rental prediction from a surveyor or letting agent in order to satisfy the mortgage lender.

This is a good way to keep hold of your property, whilst you buy somewhere else and live in it. Personal situations may require you to relocate - this allows you to do that and not sell your existing property, which can also help in the building of a property portfolio.

With a Buy To Let mortgages, you would typically need a 15% deposit, although schemes differ, but Let To Buy allows you to have a smaller deposit, possibly no deposit at all, depending on the amount of equity you have in your home.

If you current property is a leasehold, you may need to check with the freeholder that you are allowed to rent it out.