Once you have your first Buy-To-Let property up and running you might start thinking about investing in more properties and creating a portfolio. Each landlord has different strategy – some wants long term rental gain, some wants short term capital gain or investment as pension? A lot of landlords are expanding their portfolio because the market is showing encouraging trends. With less people being able to get on the property ladder, the demand for rental properties have increased over the last few years.
What do lenders want to see before lending?
• Will it give you a return on investment?
• Is there a potential to get capital gain?
• What is the rental market like in your chosen location?
• Location of property. Are there any businesses, schools and universities near the location which will increase rental demand?
• What are the demographic like in your chosen location?
Once you have decided on the property then you need to think about funding. Even if you have a few Buy-To-Let properties, lenders will want to see evidence that the property is a suitable security for their lending.
• Is the property with standard construction?
• How much is the rental expected?
• Is the property habitable?
• Can the customer make payment in case of rental voids?
Why use a loan broker like Funding Hut?
It can take a lot of time to find and secure a good deal, which when running a Buy-To-Let portfolio and maybe working as well doesn’t leave a lot of time to talk to lenders and do the research. Often people in this position end up choosing the wrong deal because they are in a rush and don’t want to miss out on their chosen property.
This is where Funding Hut comes in, our team have a lot of experience in this area. Each day they speak with landlords who are looking to expand their Buy-To-Let portfolios. They talk to the lenders and find the best deal for you, they can even have the money in your bank within a few days. They will ensure that you get the right deal for you. They take your situation into consideration when talking to the lenders and try to find you the lowest rate on the market.
Expanding your Buy-To-Let portfolio can be a great investment for the future. Just make sure that you have chosen a property in the right area that meets all your requirements and then talk to the Funding Hut team who will ensure that you get the best deal. Click here to talk to our tea