BUY TO LET
As the very name suggests: buy to let. An increase in rents, a growing population in the UK, low interest rates at banks and ever increasing real estate prices: they all contribute to a perfect environment for property investments. In other words, it's time to think about the landlord profession. However, in order to qualify for a Buy to Let loan, you have to fulfil certain specific criteria, like having one residential mortgage, i.e. living in your own property. Banks usually require a minimum deposit of 25%. In addition, your income must be at least £25,000 a year.
It is also necessary to prepare a detailed investment strategy. Usually the rent must be at least 125% of the monthly loan instalment. Otherwise, the entire investment will not be profitable and the bank simply will not grant you a Buy to Let loan if it will not see any investment potential in it.
If you consider taking a loan to invest it in a flat to let, it is strongly recommended to use the support and advice of an impartial mortgage broker.