Buy to Let Mortgage Loan to Value

Latest Deal - NatWest 2 Year Fixed BUY TO LET » NatWest Mortgages

Call FREE - 0800 158 2934 

1.89%Reverts to 4.25% after 2 years


Overall Cost for Comparison 4.00% APRC. This is the cost of the mortgage over the full term. Early redemption charges may apply.

Since 2008 the buy to let mortgage market has become restricted in terms of mortgage lending as UK banks have tightened up their criteria for mortgage acceptances. This has resulted lenders requiring higher deposits - typically 25% is  minimum in the current climate.

 

The more you can deposit the greater range of products become available to you. There are companies offering loan to values up to 80% but you can expect to pay a premium as effectively the lender is taking more risk with its capital. As part of its underwriting a lender in assessing a buy to let mortgage application will take into your previous borrowing record.

Buy to Let Mortgage Deal Selection

Provider

Type

Initial Interest Rate

Initial Term

Max LTV*Product Fee 
Fixed
Buy-to-Let

1.89%

Reverts to 4.25%

2

Years

60%

YesMore Info >
Early redemption charges may apply. Overall Cost for Comparison 4.00% APRC. This is the cost of the mortgage over the full term.
Fixed
Buy-to-Let

1.33%

Reverts to 4.74%

2

Years

60%

YesMore Info >
Early redemption charges may apply. Overall Cost for Comparison 4.30% APRC. This is the cost of the mortgage over the full term.
Fixed
Buy-to-Let

1.84%

Reverts to 4.74%

2

Years

75%

YesMore Info >
Early redemption charges may apply. Overall Cost for Comparison 4.60% APRC. This is the cost of the mortgage over the full term.
Tracker
Buy-to-Let

2.40%

Reverts to 4.25%

2

Years

70%

YesMore Info >
Early redemption charges may apply. Overall Cost for Comparison 4.40% APRC. This is the cost of the mortgage over the full term.
Fixed
Buy-to-Let

2.17%

Reverts to 4.25%

2 Years

75%

YesMore Info >
Early redemption charges may apply. Overall Cost for Comparison 4.10% APRC. This is the cost of the mortgage over the full term.
Fixed
Buy-to-Let

2.38%

Reverts to 4.74%

5

Years

60%

YesMore Info >
Early redemption charges may apply. Overall Cost for Comparison 3.90% APRC. This is the cost of the mortgage over the full term.

Representative Example:


A repayment mortgage of £120,000 payable over 28 years and 1 month initially on a fixed rate for 2 years at 1.99% and then on the lender current variable rate of 3.69% (variable) for the remaining 26 years and 1 month would require 24 monthly payments of £465.20 and 312 monthly payments of £565.39 and one final payment of £565.19.


The total amount payable would be £189,357.67 made up of the loan amount plus interest (£68,161.67), booking fee (£999), completion fee (£30) and valuation fee (£197).


In this example the overall cost for comparison is 3.7% APRC representative.


YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE.

The following are some examples of factors that may often cause a heightened loan to value ratio for borrowers:

  • A high debt to income ratio
  • A history of late payments on previous mortgage debts
  • Large loans
  • A poor credit history


Due to the high element of risk involved, many lenders often choose to take precautionary measures in the event that customers are unable to keep up with their payments. Customers who are searching for a buy to let mortgage that have a particularly high loan to value ratio are often required to take out a mortgage insurance or loss of rent insurance policy in order to protect the lender in the event that the property cannot be let. 

For specialist advice on your options regarding how much you can borrow and the rental income requirements you need to satisfy to qualify for a low cost deal see our specialist advisory service below.

YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE.

The above mortgage products highlighted on this website are available directly through lenders who will be able to provide further information about the product you are interested in. If you are unsure about what mortgage product is suitable for you, we suggest you speak to an independent mortgage broker