Buy to let

[lemonysnickett]

Does anyone know how people go about getting 100% mortgages for buy to let properties?
We are looking to buy some property for investment and wonder if anyone has any experience.
Any response greatly appreciated.

Most of the deals I've seen are 80/85 % max loan to value.

I'm not sure you can get a 100% buy to let. As LIZS says the loans are usually 80%

My mum has 2 buy to let mortgages and she could only get 80%

We have one buy to let flat and in the process of buying two more. The maximum mortgage you can get is 85% and a mortgage adviser will usually reccommend an interest only repayment. This works out well as long as your rent covers your repayments. The idea is that you can remortgage down the line to release equity and then use that equity to reinvest in more property, pay of some of the mortgage, invest somehwere else, or have a good time. Hope this helps

Thanks so much for all the responses..a great help. I too thought it was around 85 LTV but i heard from someone that there are 100% mortgages out there...but having looked up on net since this thread was started...it seems that you need to prove yourself as a competent landlord first.
On this ltopic ..what are opinions re new builds.We are looking at a couple of 2 bed flats in coventry...although good deals deals, I worry about the saturation of new builds generally and the worth of these in years to come...the other oprtion is to buy in the north of england...2 bed terraces(not new builds).
Does anyone have any experience re the above and any opinions....I think we have missed the boat as regards investing inLondon...yields are not great.
Again any opinions would be great.thanks

The best thing we found was to go and talk to local letting agents to find what the market wants. We brought ours in Bournemouth and the first is occupied by a nurse. All of ours are in cob=vreted older buildings. You have also got to think of how far you want to be from your property, whether you can trust the letting agent, wheter you want to be able to inspect easily. My dh is builder dtroke carpenter so on the letting forms he is down to do general maintenace as that saves us some money.

Sorry to go on, we also tried to find out how much the propeties woulle let for and then spoke to a mortgage adviser to to us some sums on rentable income versus repayments. when you are doing this you also have to take into consideration letting agents fees, we pay 10% plus any fees relating to the building. As new builds you do have the added advantage of having the new build covered for about 10 years by the developer but on the negative side are they freehold/leasehold. If leasehold then in the future you would want to sell with a decent amount of the lease left. If you went for an older dtyle property then you would have to remember maintenace.

Don't buy a 2 bed terrace oop north it means that people who actually want to buy a house in that area can't, its happened where I live now (i believe about half of all homes in my area are bought from people down south).

Most of my friends (young 20 somethings) rent new build flats in city centres, they are much more popular than houses because they are so central and modern.

Thanks again, I do take on board what you are saying about pricing the locals out of the market....i suppose you don't look at the bigger picture when you go and buy 1/2 houses.
Also, re L/H and F/H..an important factor to take into account...it just seems that so many people are advised to go for 2 bed flats as they are easiest to rent out. Also, get the NHBC with the new props..save on maintenance..only worry is how much they go up in value as opposed to houses. Obviously location plays an importatnt part...so many things to consider!..bottom line is I suppose it's a risk worth taking.

..ours was based purely on the rental income, so the value of the house was NOT taken into account..I'm told that the building society have some sort of formula they use to calculate what the rental income is and work the mortgage around that...We DIDN'T put a deposit down and, in actual fact, raised a significant amount to put as a deposit on another property as the buy to let mortgage is higher than what we currently have.... an, like others mention, interest only....

Steepy, you mention ou did not put a deposit down...can I if this was a 100% mortgage..or was it a deal on a new prop as i have seen some of these and they look interesting

Sorry, Steppy