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SarahBell

Who is buying houses to rent?

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Based on the information entered this Buy to Let property appears to be self-financing.
The maximum we could lend on a self-financing basis is £82,500

  • This amount is subject to a satisfactory valuation.
  • View our Buy to Let eligibility criteria for information on minimum income, secured credit commitments, maximum number of Buy to Let properties and our valuation policy.
  • We may require supporting evidence to help us assess the plausibility of the monthly running costs.
  • You can save a copy of these results for your records and to help you submit the application on Introducer Internet.

Summary

Date

18 March 2017

Property value

£110,000

Mortgage required

£60,000

Repayment method

Repayment

Term

25 years

Gross monthly rent

£550

Please input the following figures on Introducer Internet


AIP > Loan Required > Loan Details

Loan details
Mortgage required £60,000
Purchase price/valuation £110,000
Annual rental income 
in respect to this property
£6,600

FMA > Loan required > BTL details

BTL property self-financing assessment
Gross monthly rent £550
Monthly mortgage payment £369
Monthly agent's fees (if applicable) £0
Monthly allowance for rental voids £0
Monthly property maintenance (see help text) £10
Other monthly costs (see help text) £0
Other monthly commitments to be paid from rent £0
Surplus /(deficit) £171

Any additional information

For all applications we will assess the plausibility of these costs. Please provide as much information as possible here to explain the amounts entered as this will help us underwrite your case quicker.

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Turns out costs matter as well. Assumed 10% agent fees, costs approx equal to a new boiler every 7 years and about £1600 annual service charge. Thanks for posting this @SarahBell, it's cheered me up no end :). The leveraged business model for anyone wanting to be my landlord is only possible with a ~£260k deposit, i.e. taking on risky leverage to get a similar return to shares in Legal and General.

 

Based on the information entered this Buy to Let property does not appear to be self-financing.
The maximum we could lend on a self-financing basis is £192,872

  • This amount is subject to a satisfactory valuation.
  • View our Buy to Let eligibility criteria for information on minimum income, secured credit commitments, maximum number of Buy to Let properties and our valuation policy.
  • We may require supporting evidence to help us assess the plausibility of the monthly running costs.
  • You can save a copy of these results for your records and to help you submit the application on Introducer Internet.

Summary

Date

19 March 2017

Property value

£450,000

Mortgage required

£218,181

Repayment method

Interest only

Term

25 years

Gross monthly rent

£1,450

Please input the following figures on Introducer Internet

If your client would like to make an application for £192,872, which is the maximum we could lend, please see information below on how to submit on Introducer Internet.


AIP > Loan Required > Loan Details

Loan details
Mortgage required £192,872
Purchase price/valuation £450,000
Annual rental income 
in respect to this property
£17,400

FMA > Loan required > BTL details

BTL property self-financing assessment
Gross monthly rent £1,450
Monthly mortgage payment £884
Monthly agent's fees (if applicable) £145
Monthly allowance for rental voids £121
Monthly property maintenance (see help text) £150
Other monthly costs (see help text) £150
Other monthly commitments to be paid from rent £0
Surplus /(deficit) £0

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