Summary: A full-time landlord with three buy to let properties looking to grow his portfolio by raising finance from an unencumbered multi-unit in Hull.
The property consists of five self-contained units in one terraced house, all let to students.
The landlord earns just under £15k which is one of several reasons why the broker approached Keystone to place the deal.
✔ No minimum income
Many lenders impose a minimum of £25k pa
✔ Rent as income
Some lenders prefer landlords to earn income in addition to the rent
✔ SPV Ltd companies
Keystone’s rates are priced the same whether borrowing is made personally, via an SPV or via a trading limited company
✔ Students as tenants
Only a third of buy to let lenders offer mortgages to SPVs letting to students.
✔ Up to 10 separate flats within one multi-unit
Many lenders will go to only six flats
Broker proc fee: £1,575 (0.7% of loan amount)
Property value: £300,000
Loan amount: £225,000
Rate: 4.19% 5 Year Fixed
Term: 25 years, interest only
RTI calculation: 125% @ 4.19%
Lender arrangement fee: 2% of loan amount (£4,500)