Buy To Lets

Buy to Let

Buy to Let Mortgages

Buying your first investment property? Or maybe your 100th?

Need to understand BTLs or already an experienced landlord?

We're here to help. We can offer:

First Time Landlords

HMOs and MUFBs

Limited Company

Refurbishment Loans

Portfolio Landlords

Why consider a Buy to Let?

Planning for Retirement

This is some text!Many people in the UK are not sufficiently planning for their retirement. Also, there are a large number of pensions and endowments, which may fail to perform to target or pay as originally expected.

As a result, more and more people are purchasing property to let as a flexible and controllable means of planning for retirement and for a medium to long-term investment.

Letting as a long term investment

With repayment terms up to 40 years, many people are looking at buy to lets as a viable long-term alternative to traditional investment vehicles.

A second income from property

There is a possibility, to generate additional monthly income, when investing in property, by using any returns over and above the mortgage payments (although this is not guaranteed). Alternatively (with a flexible loan) any returns could be used to "overpay" the mortgage.

This can lead to early redemption and a nice profit once the mortgage debt has been repaid. You may choose to find out more about buy to let loans for one or all of the above reasons.

First Time Landlords

Thinking of becoming a landlord? With the housing market slowing, renting has increased due to higher numbers of people unable to raise the capital needed to purchase a property.

A Buy to Let can be a great way to earn additional income and a suitable place to invest your capital.

We can advise on all aspects of - interest rates, rental calculations, repayment types, terms and conditions, and legal considerations such as stamp duty.

We also have access to exclusive products to help you onto the Buy to Let ladder, or if this your first purchase, the property ladder.

We will always recommend you also take specialist tax advice as part of the process.

How can impact help you?

We can advise on all aspects of - interest rates, rental calculations, repayment types, terms and conditions, and legal considerations such as stamp duty.

We also have access to exclusive products to help you onto the Buy to Let ladder, or if this your first purchase, the property ladder.

HMOs and MUFBs

Houses in Multiple Occupancy (HMOs) and Multi-Unit Freehold Blocks (MUFBs) have become increasingly popular in the last few years, with Landlords attracted by the higher yield that such properties may offer.

impact's specialist advisers understand this market and the extra considerations, such as planning requirements, mandatory licensing and property maintenance costs (which also need to be taken into account when assessing the suitability of the property for a mortgage).

impact have access to HMO mortgages from the whole of the market, and are Key Broker Partners with Specialist HMO lenders, providing direct access to underwriters on complex cases, where a flexible approach is required.

From small student house shares, through to large setups, HMOs and multi-unit freehold blocks - our specialist advisers can assist.

From the 1st of October 2018 the regulations around HMOs changed and you may be affected.

How can impact help you?

impact have access to HMO mortgages from the whole of the market, and are Key Broker Partners with Specialist HMO lenders, providing direct access to underwriters on complex cases, where a flexible approach is required.

From small student house shares, through to large setups, HMOs and multi-unit freehold blocks - our specialist advisers can assist.

Limited Company

Buy to Let lending to Limited Companies has increased dramatically since the implementation of the Section 24 tax changes, with many tax advisers now recommending their clients change to a corporate structure.

Professional tax advice should be sought in all cases, and our advisers are happy to liaise with your tax consultant directly to ensure that the financial structure is executed correctly.

We can cater for Special Purpose Vehicles, Limited Liability Partnerships and more.

Not all lenders offer Buy to Let mortgages to Limited Companies and this still remains a specialist market, where adviser expertise is key.

Considerations, such as company structure, standard industry classification (SIC) code, and requirements for personal guarantees & debentures all need to be taken into account.

impact's advisers understand the complexities of lending in a Limited company and can advise the correct type of mortgage for you.

How can impact help you?

Not all lenders offer Buy to Let mortgages to Limited Companies and this still remains a specialist market, where adviser expertise is key.

Considerations, such as company structure, standard industry classification (SIC) code, and requirements for personal guarantees & debentures all need to be taken into account.

Imapct's advisers understand the complexities of lending in a Limited company and can advise the correct type of mortgage for you.

Contact us to find out more.

Refurbishment Loans

Refurbishment loans can be used for a vast array of purposes, all with a common objective of adding value to a property. The type of refurbishment loan and product recommended will depend very much on the individual project.

Considerations, such as nature of works, the experience of similar projects, cost of works, planning requirements, gross development value and exit strategy all need to be taken into account.

In some cases, it may be possible to fund 100% of the purchase cost and work - by taking other security into account, or providing a funded development product - where drawdowns are advanced in stage payments against the progress of the build.

impact can offer refurbishment loans from the whole of the market, from small local Building Societies offering BTL "refurb" products, to large bridging and development lenders - many of which are our key partners and we're able to offer exclusive products.

Our advisers can guide you through the various options, to ensure that your refurbishment project obtains the right funding on day one.

How can impact help you?

impact can offer refurbishment loans from the whole of the market, from small local Building Societies offering BTL "refurbishment" products, to large bridging and development lenders - many of which are our key partners and we're able to offer exclusive products.

Our advisers can guide you through the various options, to ensure that your refurbishment project obtains the right funding on day one.

Portfolio Landlords

As a portfolio landlord, your properties are your business, your income and here at impact this has our complete understanding!

Like any business owner you will want to get the most from your business and see this grow. As you are aware there are many facets to this and your mortgage needs are just one of them.

However you maybe unaware of some of the procedures, deposit levels, and even how much you can borrow.

At impact, we will assist you through every step of the mortgage process, from finding a suitable mortgage to picking up the keys to your next property.

We can help guide you through this process, offering not only mortgage advice but by building a relationship with you for the longer term with one of our experienced Buy to Let advisers.

PRA Changes

Following the recent PRA (Prudential Regulation Authority) changes, if you own 4 or more mortgaged buy to let properties you are considered a "portfolio landlord" which means, in most cases, Buy to Let lenders will have stricter underwriting requirements and will now need:

Business Plan

The lender will check to see if there is an effective long-term plan or strategy in place for your property business.​

Stress Testing

You may be subject to additional stress testing not just on the individual property but against your whole portfolio

Cash Flow

As well as looking at the rental income of the property a lender may ask for breakdown of your incomings and outgoings in relation to you properties.

Personal Income

For low yielding properties some lenders are now introducing "top slicing", taking earned income into consideration where there is a rental shortfall.

Assets & Liabilities

Lenders may ask for a statement of your assets and liabilities to ensure that refinancing a property, or adding another property to your portfolio will not cause any future issues.

This may see a little daunting, however our advisers deal with all this day and day out and want to make it as easy for you as possible. Just provide the details and we'll sort out the rest!

How can impact help you?

At impact we can help guide you through this process, offering not only mortgage advice but by building a relationship with you for the longer term with one of our our experienced Buy to Let advisers.

The Buy To Let Mortgage Process

Whether you're a first time landlord, or you're unsure of how things may have changed since your last Buy to Let, use our handy mortgage guide below.

This will help you to understand each stage of the mortgage process.

From seeing what's available in the market, right through to getting your funds!

 

While it can be perfectly suitable to go to your local Bank or Building Society for your needs, for most people looking to apply for a mortgage using a broker can be more beneficial and, in some instances, a lot quicker.

 

impact’s experienced, friendly and highly qualified advisers are able to access mortgages across the entire lending market. By taking the time to understand your individual circumstances they can find the mortgage that is best suited to your needs.

 

The first step will be a conversation between yourselves and one of our advisers to determine your plans moving forward and for you to understand how we can help.

 

Once your impact adviser has understood your plans, the next step is to find out about you and your circumstances. This will help us to narrow down the best potential mortgage options for you as quickly and accurately as possible.

 

You will then complete our online “Fact Find”.  This is a data capture document that enables us to understand your financial status better and will help us to find and advise the right mortgage for you. 

 

We can provide you with a full illustration and information about possible mortgage options.  Once your adviser has found the best potential products they will then be able to discuss these with you in detail and make a recommendation.

 

After you and your adviser have decided which mortgage is right for your needs, your adviser will need to submit an AIP (Agreement in Principle).

 

An AIP is essentially giving the lender the information they require, in order to agree to lending you a mortgage, in principle.  This will include a credit search. 

 

The lender will use the information submitted to decide which of their products you are eligible for, the exact amount they are willing to lend you and the requirments for a full mortgage application.

 

Once you have received your Agreement in Principle this is a good time to start looking for properties, if you’re looking to purchase and haven’t already done so. This is also when you will want to start collecting the paperwork required by the lender to support your mortgage application.

 

Happy with the product choice?  Then it’s time to submit your mortgage application to the lender.

 

Your adviser will have already provided you with a list of documents you will need to supply as proof of your financial situation, whether that be payslips, accounts, bank statements, etc.  Submit these to your adviser as quickly as possible in order to keep the process flowing.

 

impact will submit your application to the lender and a valuation will need to be carried out.  This is where a surveyor will visit the property on behalf of the lender, to make sure there’s suitable security for mortgage purposes.

 

During the lender application process, your impact adviser will keep you updated on progress and notify you of any further requirements the lender may have.

 

Once the lender has completed their underwriting and your application has been accepted, a formal mortgage offer will be issued. 

 

This is the lender confirming they are happy to lend you the funds, including all the details and costs associated with it.  This can be a confusing document and for a large debt, please do not be shy to ask your impact adviser any questions.

 

A copy of the mortgage offer will be issued to yourself, your mortgage adviser and your chosen solicitor.  

 

Your adviser will check the offer for any inaccuracies or special conditions; however, it is also imperative that you check this yourself.

 

Once you have accepted the offer and it has been returned to the lender, the funds will be transferred to your solicitor and if applicable the exchange of contracts will begin (make sure you have buildings insurance in place!).

 

Once the solicitor is ready to complete, they will pay the relevant party in a purchase, or repay your existing mortgage lender on a remortgage. 

 

The balance of any funds remaining are then transferred to your chosen bank account.  If it’s a purchase, you are effectively new home owners!  On a remortgage, you have a new lender. 

 

Congratulations!

SOME BUY TO LET PRODUCTS ARE NOT REGULATED BY THE FINANCIAL CONDUCT AUTHORITY

MORTGAGES IN ANOTHER CURRENCY - CHANGES IN THE EXCHANGE RATE MAY INCREASE THE STIRLING EQUIVALENT OF YOUR DEBT

Opening Times

Monday to Friday: 9:00 - 17:30
Saturday: 9:00 - 14:30
Sunday: Closed

Contact Details

impact House, 24 Carfax,
Horsham, West Sussex RH12 1EB
Phone: 01403 272625
Email: info@impactsf.co.uk