Limited edition 3.48% 5-year fixed buy to let with upfront savings
- Published: Monday 30 October, 2017
- Category: BTL mortgages
- By: Andrew Pelis
- Updated: Tuesday 31 October, 2017
This 5-year fixed rate buy to let remortgage at 75% loan to value comes with a wealth of money-saving benefits!
This stellar deal gives you up front savings, with no application fee, no product fee, a free valuation and free legals! Our broker fee and a £30 funds transfer fee are payable.
The lender also offers flexibility when assessing affordability, taking into account not only your rental income from the property, but also any regular surplus income that you have from other sources, such as employment or pension income.
Limited edition 3.48pc 5-year fixed remortgage
|Product type||Initial rate||Max. Loan to Value||Product fee||*ERC's|
|5-year fixed||3.48%||75%||£0||For 5-years|
*Early Repayment Charge
YOUR PROPERTY MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON A MORTGAGE OR ANY OTHER DEBT SECURED ON IT.
Using other income in the affordability calculation
The minimum income coverage ratio for this product is 145%. This means that you will have to demonstrate that you could afford the mortgage repayments, if they went up to 145% of the actual repayment amount.
This measure is to protect you from over-extending yourself financially, in case an unforeseen change in your financial position occurs.
However, if there is a shortfall between your rental income and the 145% coverage required, but you have other income to make up the shortfall, you may still be able to secure this deal.
This lender will allow the rent to cover a minimum of 120%, as long as your other surplus cash could make this up to 145%.
For example, if you commonly have cash left over from your employed income, after all of your other outgoings have been paid, and your rental income reaches 120% of the mortgage repayment amount, the surplus cash that you have can be taken into account. If the lender can see that the extra cash you have makes up the shortfall to reach the 145%, they may agree to the deal.
The maximum number of applicants is 6.
You must be a UK or EU national and have lived continuously in the UK for the last 2 years.
Non-UK and EU nationals may also be considered if you have lived in the UK for the past 2 years and possess a non- conditional and permanent right to reside or abode and indefinite leave to enter/remain in the UK.
If you are an existing landlord, the minimum applicant age is 21 years-old, otherwise, the minimum age is 25 years-old.
In the case of a joint application where one of the applicants is an existing landlord, subsequent applicants can be a minimum of 21 years-old.
The maximum age allowed at the end of the mortgage term is 85 years-old.
Income requirements and accepted employment types
If you are an existing landlord, there is no minimum income requirement from this lender, but you must be able to prove that you can meet your monthly mortgage repayments.
If you are applying as a first time landlord, you must have a minimum income of £25,000.
Employed applicants: If you are employed, you must hold a permanent position and must not be under notice of termination or redundancy.
You will need to give details of your last 12 months employment and provide the most recent 3 months proof of employment immediately prior to your application.
Contractors: If you are a contractor and employed on a daily rate basis, your application will be considered on the basis that you meet certain criteria stipulated by the lender, call us for details.
Self-employed: You will need to have a minimum 2-year trading period.
This lender treats self-employed statuses in different ways, and the type of information you need to provide will depend upon your circumstances, call us for details.
This lender offers some flexibility around building type. In addition to standard property types the lender will consider ex-public sector properties (local authority, housing association, Ministry of Defence), subject to certain stipulations. New build houses may be accepted, but new build flats will not.
Loan details and term
The minimum valuation is £60,000.
The maximum loan is £600,000.
The minimum mortgage term is 6 years and the maximum term is 35 years.
This information should not be interpreted as financial advice. Mortgage and loan rates are subject to change.