Categories: guides | guides buy to let mortgage guides
guidesThis case study explores how a strategic remortgage helped a landlord approaching retirement delay the sale of selected properties, while the property market strengthened.
We examine the subject of portfolio buy to let mortgages, and the flexibility they offer in terms of being able to sell some of the properties the loan is secured against during the mortgage term.
We also highlight some of the great incentives lenders offer with these multi-property loans, which resulted in significant upfront cost savings for the client.
If you need a portfolio buy to let mortgage for any reason, whether that is to:
- Restructure the loan to value thresholds across your properties;
- Help you with the administration of the portfolio
- Raise capital for re-investment;
- Or any other purpose;
Please call our specialist advisors today for our help.
Video guide transcript: Using buy to let finance to help with portfolio investment strategy
“We had a client get in contact us looking to remortgage their entire buy to let portfolio. Effectively what they were trying to do is start selling those properties to reduce the size of their portfolio, to make it a little bit more manageable for them.
“But, what they wanted to do was wait for the[property] market to be a little bit stronger. They wanted to see what was out there, in terms of new deals on the market, and try and reduce their monthly costs and make it as cost effective for them as possible.
“We've got a couple of lenders on the panel who can consider what we call a multi-property loan.
“Say for example you have six different properties, that you need remortgage, we need to consider all the associated costs - potentially product fees, valuation fees, application fees - all of that. It can add up to quite a lot, when it comes to a number of different properties.
“But, what's great with some of the lenders offering the multi-property loans, is that those products do come with a number of incentives.
“In this particular case, the total loan amount came to around £1 million. And so what we did is put them all on one mortgage application. There is also flexibility so you can remove property, you are not tied into having just one mortgage across all those properties - you can sell one property when there is a good opportunity and keep the rest of them within the lender for the remaining period of time.
“In addition, it came with a free valuation. So, there were no upfront costs for the client. It also came with free legals, which is another great benefit because it effectively reduced those associated costs for them massively. We got this secured for the client, just on a two-year period to give them as much flexibility as possible when it comes to looking at the market again and when it comes to selling those properties. If they did want to sell one property or a couple of properties, they’ve got the option to do that as well.
"So if you do have a large buy to let portfolio or just a portfolio and would like to look to refinance it all, give us a call and we will be able to help."