Buy to let FAQ

Q. Can I remortgage a Buy To Let property?

A. The simple answer is yes, and there are many reasons why it is financially beneficial to do so. Firstly you'll have to check your original mortgage terms as many have ‘lock in' clauses that tie you to the mortgage for a period of time (you can still switch providers, but you'll have to pay a hefty financial penalty). Remortgaging also carries costs such as administration charges related to setting up a mortgage, legal costs, surveys etc. However, if you shop around, the chances are that you will find a better rate, just make sure that you take into account all of the costs involved.See our Remortgage Booklet for further information. Link to remortgage booklet.

Q. Will I be affected by Capital Gains Tax?

A. Yes. When you sell the property you will be subject to Capital Gains Tax on its increased value. Before committing to a Buy To Let property, it is always advisable to seek advice from a professional tax consultant.

Q. Will my current mortgage hinder the amount that I can borrow on a buy to let mortgage?

A. No. Lenders are interested in how much rent you will receive from the property and the deposit you have, the amount you have on your existing mortgage shouldn’t be an issue.

Q. Can I rent out my existing home which is mortgaged?

A. Many people choose to rent out their home instead of waiting for it to sell, especially if they are relocating due to other commitments. However, you are required to inform your mortgage company as this will change your mortgage tenancy agreement.

Download the Buy to Let Mortages PDF Guide here - see our other free PDF guides here

Guide Contents

What is a buy to let mortgage?
Buy to Let mortgage advice
Buy to let mortgage application
Buy to let market research
10 steps to owning a buy to let property
Letting agents
Buy to let mortgage cost
Buy to let FAQ
Where to get more help

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