Advice when you need it
What percentage deposit do you need for a buy-to-let mortgage? Should you already own property? Our Specialist Financial Advisers can provide the answers to all your questions.
Find a buy-to-let mortgage deal that works for you
If you’re considering buying a property to rent out, Wesleyan Financial Services can help find the right buy-to-let mortgage for you. Our Specialist Financial Advisers know what it takes to make your property purchase a success, and will search the market to find the right deal for you.
- Get impartial advice and support at every step of the process
- Access rates and deals from a range of specialist lenders
- Take advantage of professional mortgages designed for you
Always remember your mortgage is secured on your property. Your property may be repossessed if you do not keep up repayments.
Please note that most buy-to-let mortgages are not regulated by the Financial Conduct Authority (FCA).
Your buy-to-let mortgage search made smoother
Although buy-to-let mortgages are similar to residential mortgages, there are some key differences. You’ll typically need a larger deposit, and interest rates can vary – which will ultimately impact how much profit you make. That’s why it’s important to get the best deal you can, with help from a Specialist Financial Adviser.
Whether you’re an experienced investor or just starting out in the rental market, we can help you find a great buy-to-let mortgage – whatever your circumstances.
Why choose us for your buy-to-let mortgage?
Finding the right deal for you
Did you know that doctors, teachers and other professionals can benefit from a professional mortgage? Access deals from a range of specialist lenders today.
Support at every step of the way
Once your buy-to-let mortgage is in place, we can help you protect your property with landlord insurance from our panel of leading providers.
Frequently asked questions
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What is a buy-to-let mortgage?Buy-to-let mortgages are for those who buy property to rent it out. Although buy-to-let mortgages have similar rules to standard residential mortgages, there are some differences. For example, you’ll usually need a larger deposit, and repayment is typically on an interest-only basis.
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How do buy-to-let mortgages work?
Most buy-to-let mortgages are paid on an interest-only basis. This means that landlords only pay back interest, making monthly payments cheaper. When the loan matures (typically after 25 years), the capital will need to be repaid – usually by selling the property.
It's important to remember that buy-to-let mortgages are for those buying property as an investment, and a lender will need to ensure that the amount of monthly rent can cover both mortgage repayments and any other costs that may be incurred.
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Who can get a buy-to-let mortgage?
The application process for a buy-to-let mortgage is similar to that of a residential mortgage, but there are some key differences. For example, you’ll need a larger deposit for a buy-to-let loan, and interest rates are usually higher. This is due to lenders typically viewing tenants as higher risks than owner-occupiers.
You’ll also need to be 21 years or older to apply for this type of mortgage, and if you’re considering a joint application, other applicants will need to be 18 years or older.
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Are buy-to-let mortgages more expensive?Buy-to-let mortgages are typically more expensive than residential mortgages. This is because lenders view tenants as higher risk than owner-occupiers – for example, payments may be defaulted if the property isn’t the owner’s primary residence. Tenants may not care for the property in the same way, and the home may be left empty for periods at a time.
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How much deposit do I need for a buy-to-let mortgage?With buy-to-let mortgages, the minimum deposit you will usually need is 25% of the property’s value (although this can vary between 20-40%). This is different to standard residential mortgages, where it is often possible to put down a deposit of as little as 5% of the purchase price.
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Can I change my mortgage to buy-to-let?
Yes – if you are moving and wish to let your existing property, switching from a residential mortgage to a buy-to-let mortgage is quite common. If you wish to do so, you will need consent from your lender. If your current lender refuses, then you can look to remortgage with another lender.
If you have a fixed term mortgage with early repayment charges, switching could result in these being applied.