Right.
This should be doable. As ever the devil is in the detail!
There are 3 things that lenders will be wanting and it pretty much comes down to protecting the lenders back so that they are comfortable in the event that for whatever reason the rain stops being paid. So how do you give the lender enough comfort?
Deposit
This is crucial. The bigger the deposit then the more likely it is that the lender is going to lend to you. One lender in particular is going to be more comfortable if you have a deposit of 35%. This is obviously some way above the standard 25% deposit.
Retirement Income
As with all things buy to let, it will stand on how much rental income you can create. It will always come down to this. However, you probably will need to demonstrate some additional revenue over and above the rental income. This will give the lender comfort when it comes to talking about rental voids. You can use your spouses income if the residential property is in joint names.
Age
There is one lender out there that if you can demonstrate that you are an experienced landlord then if you have a 35% deposit then they are happy to lend to you irrespective of your age. For those of you who are either new to the game or only have a 25% deposit then you need to get your skates on. This lender will only accept such applications where you are under 70.
If you are struggling to finance a buy to let investment and you are approaching retirement then give us a call.
Comments