11:13 AM, 13th August 2014, About 8 years ago 1
What is the best Buy to Let product is one of the questions I am most often asked.
Unfortunately for me there is no answer to that question as at a guess there are probably 50 – 100 plus factors to consider when searching for the right product that will fit an individual and their circumstances.
I often liken the pricing of Buy to Let mortgages to a set of kitchen scales, what is given in one hand needs to be balanced with taking in the other.
For example there are mortgage rates that start with a 2, but you will find the arrangement fee is high and or the term of the product is short clawing back profit from the discounted initial interest rate. You may get a higher Loan to Value 80 – 85%, but the pricing is more expensive or the criteria harder to meet. It is always a case of getting the best compromise that fits your plans.
Some of the lenders criteria to consider before you can even start to drill down to the product you would like are:
And the list goes on
I have been updating our Buy to Let quote engine and calculator, which is what prompted my article as the levels of criteria for each lender are so different. There are a few products that stood out while I was doing this (see below), but there is no way I would ever recommend one product or lender over another on a generic basis.
As you can see there really is no free lunch and research is key to getting the best value.
You can start your own research by using our Buy to Let mortgage calculator
Or if you need any help now just complete the form below.
Previous ArticleAre mortgage arrangement fees off-settable against tax?