Looking for different ways that you can grow your property portfolio in the UK?
If you’ve just become a landlord, or are researching ways you can invest more of your money into profitable property, our remortgaging experts are on hand to help!
Offering clear, jargon-free advice, our down-to-earth team consistently helps our customers to understand their mortgage options and find a solution that suits them best.
Carry on reading to discover how you can remortgage a buy-to-let property in a way that works for you.
If I own a buy-to-let property, can I remortgage it?
So, can you remortgage a buy-to-let property? Put simply, yes, you can!
Remortgaging a buy-to-let property can be done for a range of reasons, including to get a better rate, allow you to live in the property yourself, or even to raise capital to buy another property.
However, the most suitable remortgaging solution for you will vary depending on why you’re pursuing this option.
For example, if you want a better rate, but to are keen to continue renting out the property, you may want to apply for another buy-to-let mortgage deal.
Alternatively, if you want to remortgage a buy-to-let property to live in the house yourself, you’ll need to apply for a residential mortgage.
Reaching out to an experienced mortgage advisor can support you with securing the most appropriate remortgage deal for your circumstances.
Disclaimer
When deciding to remortgage, bear in mind that you may have to pay an early repayment charge (ERC) to your existing lender.
If you do not keep up your mortgage repayments, the property may also be repossessed.
The answer to ‘can I remortgage a buy-to-let property to purchase another property?’ tends to depend on two things; your affordability, and the amount of equity you have in the property.
In many cases, as long as you pass affordability checks to cover the higher mortgage repayments and have built up enough equity in your existing buy-to-let property, you shouldn’t have a problem remortgaging to access some of this capital.
Can you remortgage a buy-to-let to buy another property?
You can then use these funds as a deposit on a new property or to even buy it outright!
This new property can be another buy-to-let property, holiday home, or residential home for you and your family to live in.
How to remortgage a buy-to-let property
Remortgaging a buy-to-let property differs slightly to remortgaging a residential property and processes vary from lender to lender depending on a variety of factors (such as your credit history), but the main difference is the type ofdeals you’ll be offered.
This is because many buy-to-let mortgage arrangements are interest-only.
With interest-only deals, you only pay the loan’s interest, waiting until the end of the mortgage term to repay the original mortgage amount in full.
You should contact your current lender, as well as an experienced mortgage advisor, to discuss your options before your buy-to-let mortgage term reaches a conclusion.
After receiving expert remortgaging advice for your buy-to-let property, you can make a more informed decision.
From here, all you need to do is complete an Agreement in Principle (AIP) and apply for your chosen remortgage deal.
If your application is approved by the lender, a solicitor will initiate the transfer to the new arrangement.
Remortgage a buy-to-let property with UKMC
At UKMC, we understand that remortgaging a buy-to-let property can be a confusing process – especially if you’re new to being landlord and are unsure about your options.
That’s where our friendly and knowledgeable team comes in.
We provide straightforward remortgaging advice that’s tailored to your specific circumstances, ensuring you understand every stage of your remortgaging journey.
Regardless of whether you want to secure a buy-to-let mortgage deal, search the market for a new interest rate, or grow your property portfolio, don’t hesitate to book your free UKMC appointment today!
Ready to remortgage a buy-to-let property? Get in touch by either calling us on 09125 573328, sending your enquiry to hello@ukmc.co.uk, or filling in and submitting our handy online contact form.
Prefer to pay our team a visit? We’d love to see you at our Warrington office – simply pop down during office hours for a chat.
Disclaimer
UK Mortgage Centre is a trading style of Refresh Mortgage Network Limited.
Refresh Mortgage Network Limited is authorised and regulated by the Financial Conduct Authority. FRN – 826982. Registered in England & Wales: 11614569.
As a mortgage is secured against your home, it could be repossessed if you do not keep up the mortgage repayments.
The Financial Conduct Authority does not regulate some forms of buy-to-let mortgages.
The Financial Conduct Authority does not regulate will writing and taxation and trust advice.
