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Product Choice

You may think it’s comparing one rate with another and that’s it, but there are so many other factors to consider when choosing a BTL mortgage. The more of these you want, the less choice you will have.

-Overall Cost. Look at all the costs including lender set up fee, interest over the term, interest on the fee if added to the loan, valuation and solicitors costs less any cashback. You will be surprised how many brokers just look at the lowest monthly payment, which may not be the best option.

-Service. Who would you rather use, a lender that takes one day to look at your application and documentation or three weeks? A great rate is not so great if you lose your purchase.

-Product Transfers, Further Advances, Repaying extra 10% per year, Free Valuations and Free Legals when you remortgage.

These are all very common when you own property personally but in the limited company market they are rare.

The ability to keep your mortgage with your existing lender can be crucial if market conditions change or to keep the remortgage costs down.

If any of these are vital then the best rate may not be the best product for you.

Talk to us to see how we can find a BTL mortgage to match your requirements.

Portfolio Landlords – BTL Remortgage

As a professional landlord it’s not just about the rate when choosing a BTL remortgage, it’s also speed if you are approaching your current lender’s variable rate. If you have a quick lender and competitive rates you are on your way to a speedy completion for your Buy to Let Remortgage.

These are some of things a lender can do to speed the process up:

  • Title Insurance
  • Electronic Signatures on Application Forms
  • Open Banking
  • Relaxed view on Independent Legal Advice

Ideally the lender should also offer the following:

  • Product Transfers
  • Extensive solicitor panel
  • Ability to repay extra each year

When comparing mortgages always add up all the costs including interest, all lender fees, legal costs and providing Independent Legal Advice for the personal guarantee.

Also look at the information they need and how long will it take you to prepare. The list includes:

  • Portfolio – will it meet the lenders LTV threshold, with most it’s 75% although some are less and others more
  • Rental Calculation across portfolio
  • Business Plan – doesn’t take long and lenders have their own format
  • Cash flow – the longest to do but not many lenders ask for it
  • Bank Statements confirming income on the portfolio
  • Tax Year Calculations, SA100 and Tax Year Overviews for at least two years
  • Limited Company Accounts for at least two years
  • EPC – are they all E or better. If F or G a lender may ignore the income but still include the debt

We’ve been doing this type of mortgage for many years so please contact us if you need help on your next BTL remortgage.

Searchlight Finance Ltd is a broker not a lender.

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We are a credit broker not a lender.

Searchlight Finance Ltd is registered at 98, King Street, Knutsford, Cheshire, WA16 6HQ. Company Register number is 07929050.

Authorised and Regulated by the Financial Conduct Authority. Our FCA registration number is 743220. You can check via www.register.fca.org.

We are registered with the Information Commissioner’s Office, Z3109319 and you can check via www.ico.org.uk.

We conduct both regulated and unregulated business and therefore not all products provided through us are regulated by the Financial Conduct Authority.

We source finance from the whole of market and may receive commissions that will vary depending on the lender, product, or other permissible factors. The nature of any commission model will be confirmed to you before you proceed.

Member of National Association of Commercial Finance Brokers (NACFB).