Hi All
Two questions:
Affordability Checks (Remortgage)
When remortgaging BTLs, to what extent do savings contribute to a positive outcome with affordability checks, or do lenders not factor them in at all? Say you're in full-time secure employment, have a residential mortgage and 3 x BTL mortgages (all properties tenanted) and are in the black each month, do savings help in getting approval? I have a not insignificant sum lying in the bank doing nothing. I'm considering buying a 4th BTL outright, however this will pretty much wipe out my savings. I have a remortgage due on one of my properties this summer and don't want to jepordise a positive decision from the lender. Therefore, should I be leaving my savings where they are to ensure this?
Buying a 4th BTL
When I review lender criteria, many of them say they accept applications from landlords with up to 3 BTLs. To go over this, you need to go down their business/company route. I'm not interested in doing this. Am I right in thinking lenders will still consider you (without being a registered business/company) if you have more than 3 properties, as long as only up to 3 are mortgaged? e.g. if you own a 4th, 5th but they are owned outright, does the lender essentially ignore them in terms of assessing your application?
Thanks
Two questions:
Affordability Checks (Remortgage)
When remortgaging BTLs, to what extent do savings contribute to a positive outcome with affordability checks, or do lenders not factor them in at all? Say you're in full-time secure employment, have a residential mortgage and 3 x BTL mortgages (all properties tenanted) and are in the black each month, do savings help in getting approval? I have a not insignificant sum lying in the bank doing nothing. I'm considering buying a 4th BTL outright, however this will pretty much wipe out my savings. I have a remortgage due on one of my properties this summer and don't want to jepordise a positive decision from the lender. Therefore, should I be leaving my savings where they are to ensure this?
Buying a 4th BTL
When I review lender criteria, many of them say they accept applications from landlords with up to 3 BTLs. To go over this, you need to go down their business/company route. I'm not interested in doing this. Am I right in thinking lenders will still consider you (without being a registered business/company) if you have more than 3 properties, as long as only up to 3 are mortgaged? e.g. if you own a 4th, 5th but they are owned outright, does the lender essentially ignore them in terms of assessing your application?
Thanks
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