Buy to Let (UK)
We have an extensive panel of lenders both offshore and onshore. These include Offshore Banks, Private Banks, High Street Banks and other niche lenders. Our lenders may be locally or internationally based depending on the nature of the transaction.
We are pleased to advise that we remain well positioned in the market having sourced some very competitive offerings for the expat, foreign national or offshore corporate sectors. We are able to arrange Buy to Let finance up to 75% and terms to 25 years.
We will look at a number of factors in determining who best to place your business with matching those factors you consider the most important with the features and benefits of our lenders products.
Factors that our clients consider may include all or any of the following:-
- Maximum Loan to Purchase Price
- Flexibility in terms of lump sum reductions / early redemption costs
- Fixed or Variable Rates
- Special Offers / Packages
- Repayment or Interest Only options
Rates and terms are constantly changing so please contact us so we can profile your requirements and provide you with a tailored mortgage solution.
The borrowing can be made either in a personal name or a corporate entity (i.e. Offshore Trust or Offshore Company). The borrower will be responsible for the cost of a valuation and legal fees. Note that where borrowings are made available in the name of an offshore corporate entity, the underlying Beneficial Owner will be required to offer a Personal Guarantee. A Legal Opinion on the borrowing entity may also be required.
We can arrange many different types of finance ranging from Buy to Let Mortgages to International, Commercial or Currency Mortgages. With the multitude of finance options in the market today, its easy to get confused about what's the most appropriate financial solution for you as the client. Before making that final decision, call, phone or email us so that we can help put you on the right track. There's no obligation - no commitment.
Which Mortgage is Right for Me?
Whilst the rate of interest you pay is probably the most important consideration when deciding on your mortgage, you should also be aware of other equally important factors such as flexibility, lock-ins, how interest is calculated and when interest is applied etc. You also need to make the choice between whether you want an interest-only mortgage or a repayment mortgage. If you want an interest only mortgage, most lenders will require you to take out a suitable investment to couple the mortgage which will pay off the capital element of the loan at the end of the mortgage term. Some will, however, allow you to have an interest only mortgage without the requirement of the investment and in this case, you (and your lender) will assume repayment of capital from elsewhere but most likely the sale of the property.
Standard Variable Rate
This is usually the most expensive option for the borrower. A Bank's standard variable rate is linked to the Bank of England's base rate and moves up and down in line with it. If the Bank of England announces a change in Base Rate, you can expect that your interest rate will move up or down accordingly.
On a standard rate deal, you will probably benefit from the flexibility of penalty free lump sum reductions or repayment holiday but effectively because you're paying a higher rate than other offers, you'll be subsidising the discounts other customers are receiving.
Exactly that - a fixed rate that ensures you have peace of mind so that if rates go up, yours will stay the same. You know how much your repayment is each month and you will know for how long your repayments stay at the same amount. The rate of interest is fixed for a certain length of time usually 1-5 years and sometimes up to 10 years.
The fixed rate is a good option for people who are on a tight budget, need to monitor their funds closely and are not in a position to afford any significant increase in repayments if rates go up. However, a fixed rate also means you could be caught with paying more than everyone else if interest rates fall below the rate that you decided to fix your mortgage at. Also, be sure you are going to keep the property for as long as the term of your fixed rate period, since some lenders can charge fairly hefty penalties if you wish to opt out.
Discount* mortgages effectively parallel standard variable rate mortgages except that you'll receive a reduced rate in the first few years of your mortgage. Your monthly payments will move up and down in accordance with the lender's normal rate but you'll be paying at a reduced rate over the relevant time period. Good for first-time buyers as a discounted mortgage takes the pressure of what would otherwise be higher repayments in the first few years. But there's no such thing as a free lunch as many lenders will have lock-in periods to keep you with them beyond the discounted period and getting out can be costly. If you can find a lender with no lock-in period, then you're free to move your mortgage elsewhere to take advantage of other offers in the market.
Discount mortgages offer are a good choice but only if you are free of any lock-ins after the discounted period is over.
Capped* rates are similar to a fixed rate in that there is a "ceiling" on the maximum rate that you will pay. The additional benefit with a capped rate over a fixed rate is that your interest rate can fall but not rise above a certain level (the ceiling). If your lender's variable rate climbs higher than the capped rate you benefit because you don't pay higher than the ceiling (or capped) rate and if it falls below the capped rate you'll just be paying what everyone else is paying.
Capped rates give you part of the advantages of fixed rates and of variable rates. Whilst they can be a good choice, capped rates are generally higher than any fixed rate you can get.
*Subject to availability