Mortgages

Maybe you’re a first time buyer/remortgaging or just looking to move to a new home, if so then you have come to the right place as b-advised Ltd can offer independent mortgage advice.

Although the choice in the mortgage market has increased considerably in recent times it can still be confusing on whom to approach for a mortgage as everyone’s circumstance are different. Why go to one particular lender when you can get all the advice you need from one place that being b-advised Ltd. As we are also part of a large network (Personal Touch FS) we do get exclusive offers available that are not accessible from lenders branches directly.

BTL Mortgages.

Buy-to-let has had some government attention recently but many still see property as a good investment with low interest rates and unstable stock markets.

When considering a BTL you should keep in mind the additional costs.

Buying costs:

• Stamp Duty at 3%
• Deposit 25% of purchase price
• Mortgage Fees
• Legal Fees

Ongoing costs:

• Maintenance/Cleaning
• Rental Voids
• Ground rent (if Applicable)
• Service charges (if Applicable)
• Property Management (if Applicable)
• Mortgage payments
• Landlords insurances
• Income tax
• Gas Safety certificates
• Tenancy agreements

Selling /exit charges:

• Capital Gains Tax
• Estate Agent fees

Rental returns are important to consider before you buy, so you should study the area, research rental returns and try to buy in a location that is attractive to targeted tenants.

Things to consider:
• Type of tenant
• Access to public transport
• Links to nearest town
• Local facilities
• Close to hospitals or Universities
• Family rentals will want access to good schools
• Furnished or unfurnished

Most BTL mortgages are on interest-only basis, which means you don’t pay anything off the lump sum borrowed each month paying only the interest, of course, at the end of the mortgage term you need to repay the outstanding capital in full.

BTL sub types

Most BTL mortgage lending is not regulated by the Financial Conduct Authority (FCA)

Portfolio Landlords 4 or more mortgaged BTL properties

Commercial BTL normally owned within a limited company

Accidental BTL inherited through bereavement or your own home let out so you can buy another,

Regulated BTL is when you wish to let the property to a close family member (e.g. spouse, civil partner, child, grandparent, parent or sibling). This means that most BTL mortgages are unregulated.

If you’re taking out a BTL mortgage from a lender that is FCA authorised, they are expected to treat you fairly. If you are unhappy with any issues dealing with such a lender, you can make a complaint to the Financial Ombudsman Service.

BTL and Taxes

From 1 April 2016, Stamp Duty Land Tax is an extra 3% on top of the current rates for buy to let residential properties above £40,000.

If you sell your buy-to-let property for profit, you will pay Capital Gains Tax if your gain exceeds the annual allowance threshold. Also, rental income that exceeds your mortgage interest payments and allowable expenses are liable to Income Tax. This should be conducted in a self assessment.

b-advised Ltd are experienced in the Buy To Let Market, and will be able to assist you in securing the most appropriate deal in keeping with your objectives.
We have access to a wide range of Providers & Exclusives who can accept HMO/LTD companies/portfolio landlords/family BTL as well as the standard BTL.

So if you are thinking about seeking mortgage advice then why not give us a call  or drop us an email, all emails aimed to be answered within 24 working hours.

THERE WILL BE A FEE FOR MORTGAGE ADVICE. THE AMOUNT WILL DEPEND ON YOUR CIRCUMSTANCES. OUR TYPICAL FEE WOULD BE £295.

This mortgage tool is strictly for information only
You cannot apply for a product directly from this website as full advice must be given from one of our advisers