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Renewed Investor

24 Month Ban on issuing BTL Mortgages

24 month Ban on BTL Mortgages  

43 members have voted

  1. 1. Would you be in favour of a 24 month Ban on the issuing of BTL Mortgages

    • Yes
      38
    • No
      1
    • Not Sure/Undecided
      4


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11 minutes ago, Freezer? Best place for it said:

Why 24 months?  Any logic?

None. Business is Business... Thats the current theoric of the UK. Its not people centric, as it once was, through hard work stretched goals like owning a home were achievable, through combination of savings and responsible lending. The current verson of the country is a 2% inflation target, and global branding / image.

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BTL mortgages should be banned straight up.

They're assessed mostly on the rental income, paid by the tenant.  Why not just lend the tenant the money to buy the house and cut out the middle man?

If you want to be a landlord you should have to pay for the house outright.

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27 minutes ago, winkie said:

Min 50% deposit down, the balance to be paid on a repayment basis....over max 20 years.....;)

Indeed.

Just pricing an Io btl mortgage corectly would finish them - commercial bridging loan. 3-4% month, compounding.

You dont need to ban what just needs correctly pricing.

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3 hours ago, spyguy said:

Indeed.

Just pricing an Io btl mortgage corectly would finish them - commercial bridging loan. 3-4% month, compounding.

You dont need to ban what just needs correctly pricing.

+1.

To start with PRA ICR test needs to be done for all the BTL remortgages even if it is taken with the existing lender. 

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6 hours ago, hi5lo5 said:

+1.

To start with PRA ICR test needs to be done for all the BTL remortgages even if it is taken with the existing lender. 

No PRA test or anything.

Im repeating myself ut, as noone inc, the banks, graps what an IO BTL actually is ...

BTL is a non OO mortgage. so its bascially a commercial venture.

IO is non amortising.

An IO BTL loan is, basically, a non amortising commercial loan i.e.a commercial bridging loan.

Now very few banks offers these. Why? Its a very specialised, expensive market.

A commercial bridging cost about 2-3% a month, compounding.

 

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On 05/05/2018 at 15:56, Freezer? Best place for it said:

Why 24 months?  Any logic?

The chap who gave that time frame reckoned it would be an adequate amount of time to study the effects it had on the market and broader economy in general.

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  • 334 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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