Best Buy to Let Mortgage Calculators
It would be easy to start saying just how easy it is to become a
landlord and earn income from UK investment property and
how you can simply sit back and watch the profit tumble in like
a cascading waterfall. The reality is that there are a number of
key issues that you will have to be involved in to ensure your
investment property portfolio works to its optimum. With tenants
to source and vet, an investment property to maintain, buy to
let mortgages to arrange, letting agents to manage and accounts
to monitor, it does take a certain level of commitment. So if
you are still keen to have a slice of the much talked about
property game then you will want to read on to find out how to
get started?
Firstly, you need to establish if this is the right time for you
to become a landlord and how much it is going to cost you. Can
you afford to tie up money in a property? If the worst comes to
the worst, can you afford to lose that money?
The simplest way to work out the repayments on a buy to let
mortgage is to use an on-line buy to let mortgage
calculator. These can help you work out the best buy to let
mortgage product for the type of UK investment property you are
considering and your individual circumstances. You will need to
know the likely rent that can be achieved for the property as
this will determine the maximum loan amount available against
the purchase price or refinancing value of the buy to let
property. Lenders normally suggest that the rental income each
month represents at least 130 per cent of the monthly mortgage
payment. Although there are some buy to let products calculated
on ratios of as little as 115%. By working on these
calculations, gives the investor a margin to cover the letting
agent's fees and other associated costs.
This is a long-term investment and you need to take the same
approach to investing money into a house or flat as you would to
buying into the stock market. Historically the value of
properties have doubled every 10-15 years but that doesn't mean
to say that there won't be peaks and troughs in between. These
are times that you have to be prepared and most importantly can
afford to ride through.
Increasing your returns by using buy to let finance to your
advantage
For example, lets say you have