How to finance my next BTL?

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    How to finance my next BTL?

    I appreciate that the advice given here is given in good faith so Im just after pointers really to mull over.
    It may be that what I have in mind is not possible.

    I would like to purchase another property for around the £145k area max.

    I have 1 BTL at the moment on a 5 yr fix with 20 months left with approx
    £20k equity max.

    I have the family home on a 10 yr fix with approx 3 yrs left with approx £100k max equity.

    I intend keeping both the above long term and the next house would also be kept long term as well. Any idea's for obtaining the approx 25% deposit ie 75%ltv required for the next purchase as I obviously prefer not to use my savings for the deposit if at all possible.

    #2
    You can consider remortgaging your home for a higher loan to obtain the required £36,250 (twenty-five per cent of £145,000). Drawback is the redemption fee.

    If you have the money in savings you should calculate the loss of earned interest against cost of redemption and any tax deductions that come from finance expenses.

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      #3
      Could you get a further advance on your residential mortgage? This way no redemption fees would be due.

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        #4
        Also be aware that at the moment, a lot of the lenders are asking for minimum income requirements of around £30,000 with proof, and the self employed are not welcomed with open arms.

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