Buy To Let Remortgage
Buy To Let Remortgage | Easy Draw Down Finance For Landlords
A buy to let remortgage, like a residential remortgage, involves moving your buy to let mortgage to another mortgage provider. There are several reasons why a landlord might find a buy to let remortgage appealing. Say, for example, a landlord has had a BTL mortgage deal for a while. Interest rates have risen in line with the Bank of England base rate, sending repayments on the landlord's original BTL mortgage deal shooting up. At the same time, some of the landlord's properties are not performing well, making it difficult to meet monthly mortgage repayments. Remortgaging could solve the landlord's problem by allowing the landlord to switch to a more competitive deal and reduce monthly outgoings to ride out the short term slump in rental income.
Some landlords want to release more funds so that they can purchase additional property and remortgaging can help with this. Lenders apply different criteria to calculate rental income and rental yield multiples are dropping all the time. From 130 per cent a few years ago, they are now an average of 125 per cent, with some lenders hovering close to the 100 per cent mark. Switching lenders by remortgaging could be an easy way of getting more money to invest in additional BTL properties.
Many lenders have a limit on the amount they will lend (usually £5 million or £10 million) and the number of properties a particular landlord can have (anywhere from 3 to 15 is typical). Landlords who are reaching the limit with a particular lender might wish to consider a remortgage. There are many lenders that lend larger amounts for unlimited numbers of properties, so it can be worth shopping around to find the right deal.
The Let to Buy Option
Similarly, a buy to let remortgage can be a useful option for people who are looking to let to buy. Some people want to retain their existing home, but release the equity so they can buy a new property to move to. A buy to let remortgage can help them to achieve that aim. Whatever landlord's reasons, moving between lenders is an easy way to get more flexible criteria that may suit their particular circumstances. Like residential remortgage deals, a buy to let remortgage often includes 
a free or refunded valuation fee and free legal fees, which may be attractive to some landlords.
In order to get the best deals on a buy to let remortgage, landlords need to shop around, as there are tens of dozens of buy to let remortgage deals available with different criteria. In fact, there are so many deals available that trying to match deals to individual circumstances can be a minefield. One way to avoid the hassle is to use a mortgage broker who specialises in buy to let. The broker will be able to discuss individual circumstances and then choose the best buy to let remortgage deal for particular landlords.
