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Landlord with low income raises capital to purchase new BTLs

Landlord with low income raises capital to  purchase new BTLs

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.



Why Keystone?

  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

LTV: 75%

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)

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