What is a remortgage?

Remortgaging simply means replacing your existing mortgage.

How much can I borrow for a buy-to-let property?

How much you can borrow for a buy-to-let depends on the property’s rental income per month. This will be used to work out how much you are able to borrow to purchase it.

What size deposit do I need for a buy-to-let?

You’ll need to have a 25% deposit available. If not, you won’t be able to apply for a buy-to-let mortgage.

When should I speak to a mortgage adviser?

It’s best to speak to a mortgage adviser when you have an idea of how much you have to spend on a property and what rental income will be achievable per month.

Do I need to own my own home to get a buy-to-let mortgage?

There are fewer options available to landlords who don’t also own the home they live in, however it is still possible to get a buy-to-let mortgage.

Can I move home if my current mortgage contract hasn’t ended?

Yes, you can. However, you may face exit fees and early repayment charges. Check the terms of your current mortgage to find out how much you will need to pay and whether it’s worth waiting until your mortgage contract ends. You could also look into transferring or porting your current mortgage deal to your new property.

Can I transfer my existing mortgage onto a new property?

This all depends on your current lender and mortgage contract. If you wish to do this, get your current mortgage details and speak to an adviser. They will be able to tell you if porting is possible and whether that is the best solution – sometimes it is worth paying the early repayment charge and getting a new product. An expert adviser will be able to get you the right solution.

Will I need another deposit?

This all depends on the value of your next property compared to your current property, and how much equity is currently in your home. If you’re downsizing or have been paying off your current mortgage for a long time, it’s likely that you’ll have enough equity in your home to cover the deposit needed for your new property.

If you’re upsizing, the deposit you need for your new property is going to be bigger than the one you needed for your current home. If you’ve been paying off your mortgage for a while now, you may have enough to cover it from selling your home. If not, you’ll need to find the money to pay the difference.

What should I think about before I remortgage?

Before you remortgage, check your credit report well in advance to make sure it’s in as healthy a position as possible. If you spot any errors, make sure you get them removed. You can also check if there are any quick credit score-boosting wins that you can capitalise on, such as registering to vote or keeping your credit utilisation low for the next few months.

Can everyone remortgage?

To remortgage, your outstanding mortgage must not be more than 95% the property value. This means the equity you have in your home (how much of it you own) must be worth at least 5% of the property’s value.

FAQs

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