Royal Bank Of Scotland Buy To Let Mortgage Calculator
Compare Buy To Let Mortgage Rates From RBS
Fair Mortgages can provide you with a first class service if you are looking for the best buy to let mortgage deal for your circumstances. Alternatively, you may wish to deal with RBS direct - You can call them direct on:
Our independent buy to let service offers:
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Whole of market broker - we deal with most UK buy to let lenders including Royal Bank Of Scotland
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Access to leading buy to let market rates
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Expert help whether you are a first time investor or full time landlord
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We have lenders who will take into account previous defaults and missed payments
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Complex buy to let or have a portfolio of 5+ properties? - speak to us
To investigate your buy to let mortgage options including Royal Bank Of Scotland call our specialist team on 0117 403 4474 or fill in our call back form.
Royal Bank Of Scotland Buy To Let Mortgage Calculator
Founded in 1727, the Royal Bank of Scotland offers a range of buy to let mortgage options.
RBS offer a selection of Tracker and Fixed Rate options at varying levels of maximum loan to value.
No matter if you are already a landlord or you are looking into purchasing your first investment property, you could benefit from enlisting the services of an independent mortgage adviser to help you find the right product. Not only can an independent adviser offer you impartial advice throughout the buy to let mortgage process, but one that offers a whole of market service can search across the whole of the mortgage market on your behalf to find products that are perfect for your specific circumstances.
There are also a selection of lenders who have a range of mortgages that can only be accessed via a professional intermediary.
If you think Fair Mortgages might be able to help you, you can fill in our online contact form to request a call back from one of our mortgage advisers and receive a free initial consultation. Alternatively, you can call us directly on 0117 403 4474
Getting a buy to let mortgage
While you may be familiar with residential mortgages, if you have never had a buy to let mortgage before there are a few key differences from other home finance you may have had before.
Deposit – While residential mortgages can commonly be secured with relatively small deposits, buy to let mortgages usually require borrowers to put down a larger deposit. As a general rule, a deposit of at least 25% of the property value is needed for a buy to let mortgage. It should be noted that there are products available with lower deposit criteria. As with all types of finance, the larger the deposit you can afford to put down the cheaper your mortgage repayments will be.
Affordability – Unlike residential mortgages, where affordability is usually based upon a multiple of your annual income, buy to let mortgage affordability is based on a rental valuation of the property. The majority of lenders will require landlords to have a rental coverage ratio of at least 145% for a standard buy to let, or 170% for a house in multiple occupation, of what your monthly mortgage payment would be.
Other factors
While affordability is calculated on the rental potential of the property, lenders may still have a requirement for the minimum income of applicants and also require them to already be homeowners.
From 2017, lenders will use a stricter income stress test than in years past. This is to minimise the risk of landlords falling into arrears on their mortgages. To satisfy the stricter income stress test, landlords will need to show that they can afford mortgage repayments even in the event that interest rates hit 5.5%.
It is important for landlords with multiple buy to let properties to note that lenders no longer look at properties in isolation, but instead they will take an in-depth review of the landlord’s entire portfolio. In addition, landlords can no longer spread equity across their portfolio and if the landlord has one or more properties that are not profitable, then a buy to let mortgage will not be granted.
Lenders may also stipulate the minimum age that an applicant can be, as well as the maximum age that an applicant can be by the end of the mortgage term. These stipulations can vary considerably between providers, so it is worth shopping around to try and find a product that fits your circumstances.
Speak to our specialist team on 0117 403 4474 to help you find the right mortgage option for you.
