Funding B2L from re-mortgaging own home.Make Text Bigger
I’m considering entering B2L for the first time.
Rather than securing a B2L mortgage, can funds be released by re-mortgaging our own home and then purchasing the B2L property outright. Rents can then be used to pay the payments on the re-mortgaged home. I’m thinking of seeking a £200k re-mortgage from a £800k property which is owned outright,
I recognise there’s no tax relief on the residential mortgage payments, but this will be offset by the lower rate on a residential mortgage: approx 3% residential rate v’s 5% under a B2L mortgage.
I’d appreciate views.
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