A Guide to Buy-to-Let
Looking for impartial, independent advice about limited company buy-to-lets in Maidstone? At Mortgage & More, we believe in making finance simple. Whether you're just starting out or have years of experience as a landlord, our approachable team is here to demystify buy-to-let mortgages so you can invest in property with confidence. From selecting the best mortgage broker in Kent to understanding tax benefits of limited company buy-to-let, this guide offers reliable, straightforward information for landlords at every stage.
What Are Buy-to-Let Mortgages?
Buy-to-let mortgages are designed for individuals investing in property to rent out. As experienced, qualified advisors, we help explain the special considerations that apply to buying to let through a limited company in the UK.
1. Stamp Duty
Stamp duty rates for buy-to-let properties are higher than standard residential purchases. Our Stamp Duty Calculator can help you work out costs before you commit.
2. Age Requirement
Most lenders require you to be at least 21 to apply for a buy-to-let mortgage.
3. Credit Score
A healthy credit record is important. The better your credit score, the more access you'll have to the best buy to let mortgages for companies.
4. Minimum Income
Lenders will often want to see a minimum level of income & proof you can cover payments even during vacancy periods.
5. Deposit
Expect to put down a larger deposit, normally between 15% & 25% of the purchase price. Lenders often prefer a loan to value (LTV) ratio of 75% or less.
6. Rental Income
How much you can borrow is usually linked to expected rental income. This must adequately cover your mortgage payments & may require an independent rental assessment.
7. Loan to Value Ratio (LTV)
A minimum deposit of 25% is typical, making it important to plan your finances ahead.
8. Property Location
Research local demand carefully. Properties in desirable areas are more likely to stay occupied.
9. Property Management
Decide whether you'll manage the property yourself or use a letting agent. Legislation changes are frequent; staying informed helps you remain compliant as a landlord.
Portfolio Landlords
Are you a portfolio landlord, owning four or more buy-to-let properties? Many lenders offer loans dedicated to portfolio landlords, but strict criteria & extra checks may apply. Keeping thorough records for each property is vital to maintaining your eligibility for future lending.
Limited Company Lending
Many landlords form a Limited Company, often a Special Purpose Vehicle (SPV), to benefit from tax incentives. Setting up a company for buy to let UK offers potential tax benefits, though mortgage rates might be slightly higher. Our independent guidance ensures you understand both the risks & the rewards, & we'll always recommend seeking professional tax advice before choosing this route.
Make an appointment or speak to one of our advisers by filling out the form here.
Phone: 01634 235132
Address: 9 Balas Drive, Sittingbourne, Kent, ME10 5AS
Email: info@mortgageandmore.co.uk
YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE OR OTHER LOANS SECURED AGAINST IT.
THERE MAY BE A FEE FOR MORTGAGE ADVICE, THE PRECISE AMOUNT WILL DEPEND ON YOUR CIRCUMSTANCES, OUR TYPICAL FEE IS £395
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Mortgage and More is Authorised and Regulated by the Financial Conduct Authority. The Financial Service Register Number is 651274
The Financial Conduct Authority does not regulate some forms of Buy to Lets.
There may be a fee for mortgage advice. The precise amount will depend on your circumstances, but will be agreed with you before proceeding.
Mortgage and More is a Limited Company. Registered Address: Mortgage and More; 9 Balas Drive, Siitingbourne, Kent. ME10 5AS Registered in England and Wales under number 06437752
We always aim to provide a high-quality service to our customers. However, if you encounter any problems, in the first instance please write to the registered address above, email or call Mortgage and More outlining your complaint, if we are unable to resolve this, you can take your complaint to an independent Ombudsman. Our advice is covered under the Financial Ombudsman Service (www.http://www.financial-ombudsman.org.uk/consumer/complaints.htm).
The guidance and/or information contained within this website is subject to the UK regulatory regime and is therefore targeted at consumers based in the UK. Some calls maybe recorded for training and monitoring purposes.