How to rent our home?

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My husband and I are looking to move home but we would really like to keep out current property and rent it out but we’re unsure how to go about it. We bought it for £204000 two years ago and it’s now worth around £240000 we could get about £750pm as a rental. We want to but a new house around£300000. Is this possible? If so how do we go about it?

You need to put your house on a buy to let mortgage. There will be the usual income/monetary checks and valuation fees etc. to pay. You can usually get an eighty five percent mortgage as long as the rent is one hundred and fifteen or one hundred and twenty five percent of the mortgage payment. The rate usually depends on how long the mortgage is fixed for, how much equity you are leaving in etc.

Contact some mortgage broker firms for an initial chat and they will give you some estimates and quotes. Don't forget you will have landlord insurance, letting fees, maintenance and tax to pay on the rental income.

Oh just forgot, if you decide to sell your original house further down the line after renting it out there will also be capital gains tax to pay to hmrc on the increase in it's value.

When you buy the second house, you need pay extra 3% stamp duty, that would be £14000 if you buy a house £300,000.

Also have you got enough deposit for second property? Have you paid off the first house mortgage, if not, you have to transfer it to buy to let mortgage, otherwise it will affect your ability to get the second residential mortgage, your income must cover two mortgage at the same time,

When you buy the second house, you need pay extra 3% stamp duty, that would be £14000 if you buy a house £300,000.

If the original house is changed to non residential, you won’t be subject to the additional 3% stamp duty. That would apply if you have 2 (or more) properties and live in both.

www.zoopla.co.uk/discover/buying/q-a-new-3-stamp-duty-surcharges/#7i51YCtHBmtVWtjm.97

My understanding is if you buy an additional residential property, even you buy residential property, you are still liable for 3% stamp duty.

Only situation you don't need to pay extra stamp duty is you own 2 properties already, one is buy to let, the other one is residential house. If you decide to sale the residential house, replace with a new property, then you don't need to pay extra 3% stamp duty, because that is your main residential house you replaced with.

You have to pay the extra stamp duty on any residential property after the first.
If you sell a 2nd property within (I think) 18 months and are then left with only one, you can claim the extra SD back.

Go speak to your mortgage provider they will advise you.

Diditagainoops you are completely wrong. Any 2nd property attracts the extra 3% stamp duty.
Most btl mortgages are 75% ltv.
So op you would only get about a 180k btl mortgage on your current house. Plus 14k stamp duty for the new house and at least a 15k deposit for the new house.
So if you have over 30k then it should be doable

I'm just in the process of buying my second house and you do have to pay the stamp duty of 3%. My first house is on a btl mortgage and I'm going to be living in the second house once its been renovated. Most mortgage companies like you to have at least 25% equity in your current home. Also you will need a deposit for your new property although you can withdraw money from your first when putting on a buy to let if you have enough equity. I would suggest getting a financial advisor as it will help you massively.