Media frenzy – ‘There’s no money left.’
One of the most alarming suggestions by the media is encouraging people to believe that there is no longer any money left to lend. This is absurd, as the real situation is very different. Banks may not be lending ninety five percent of the properties value or more, but if you have a good job and a deposit that should mean with the right buy to let mortgage advice that you get a better rate of interest. The banks are tightening up their lending criteria but will be very interested in offering financial products to people they deem to be a safe place to use their money.
Media frenzy – ‘There is no one to help me.’
If you are facing some problems then don’t hesitate to speak to a buy to let mortgage broker or an independent financial adviser to see if they can offer ways to get around your financial difficulties. Even if you are not in great difficulty but are choosing to simply remortgage your property it’s highly recommended that you get the best buy to let mortgage advice possible. That means asking more questions and looking at your options and not just taking the so called deal of the moment. In some cases it may it may mean paying a higher rate of interest for a short time until you can be sure you are not trapped into an unhelpful financial situation for an even longer period of time.
Media frenzy: ‘Buy to let can’t work’
Some doom and gloom merchants are claiming that buy to let mortgages are no longer cost effective or a useful way to finance your property. This couldn’t be further from the truth. There are extra considerations to be made like the possible increase in arrangement fees and higher interest rates, but there are also some excellent properties coming onto the market for the first time so it’s worth considering the advantages of buying a property now.
The key principles to ensuring a buy to let mortgage works with your property and not against it are simple.
• When there are a larger number of properties it makes sense to shop around for the right property. Now more than ever before estate agents and auction houses are reporting large amounts of properties coming onto the market at affordable prices in the best locations so view more properties.
• Potential buyers have far more room to manoeuvre when it comes to the price they offer. They also have increased levels of information about the property through the introduction of the Home Information Pack and Energy Performance Certificates.
• When buying at auction or considering buying a property which you deem to be a bargain it is essential that you and your buy to let mortgage broker have as much information about the property before a final decision is made about any purchase.