can i get a second mortgage?

It would depend on a lot of things - your credit rating, if you have any other secured or unsecured debt, the size of any deposit, your partner's credit rating, if your partner has any debts, the multiple of your income and joint income that is required, your age, job....

Give more information and we may be able to give an indication.

Gosh lots to think about!

well both have good credit and neither of us have any loans, i was hoping to get a deal on a new build house with one of the companys i work for so deposit i hadt really thought of altho if we needed one his parents would help us if we cudt raise it our selfs

i have about 30 equity in my house but i wudt want to touch that, dont no if that wud help?

You'll need to tell your existing mortgage providers that you'll be letting the house - they may not allow you to do this with your current product, so you may need to think about looking for a buy-to-let mortgage if not.

I didt think i needed to change it as iam not tied in and have owned it for 5 1/2 years?

You'll still need either a buy to let or permission to let. We have permission to let on our flat and it cost £100 for the year. We have to renew it each year and pay the fee each time.

We have a second place we let out. You'd need a 25% deposit on it probably. We have an interest only buy to let mortgage, and the mortgage lender will need to know that the rent you'd get will cover the mortgage repayments. As far as I know, they lend on this basis rather than X multiples of earnings.

We have a permission to let but it didn't cost us anything. That may have been to do with the story we told the mortgage company - secondment for a year rather than buying new house.

£100 int so bad than, so if i prove that the house will pay for it self i should be ok to get a second mortgage.

thanks for the help, il look further in to it now

Ours only give permission if you're going to be moving back to the property at some point, regardless of circumstances. It's a pain but we really didn't want a buy to let as we're very happy with our mortgage (it's an offset one).

It is possible to have a second mortgage and keep your own property on a normal mortgage - we have done this with the mortgage provider's permission

My H has a house that he has been renting out for years, when we got our first mortgage, we told the broker that H had this mortgage and she found us a mortgage provider who didn't mind that we had a rented property although, I think we paid slightly more for this. However, this was 6 years ago.

If you have been renting your place out for a year, mortgage providers often don't take that debt into account, as long as the rent you receive is at least 125% of your mortgage payment

You don't necessarily need to transfer your mortgage to buy to let; we have been thinking about renting our 1 bed flat out and moving into rented ourselves (baby due in 12 weeks) and my mortgage provider are happy with this as long as we complete a simple form. We stay on the same deal.

You don't need your current mortgage to be buy to let, but if its not your new mortgage will have to be, as you're obviously letting one of them. I'd see which one is cheaper on buy to let- probably the cheapest house. you'd need at least 15% deposit/ equity and the rate would go up a bit probably. so its not ideal for the one you want to keep longer/ is more expensive to be BTL.

My friend is looking ATM and said that products are actually quite pricy now, despite rates being low.

Good luck with your venture.

You need to get a 'consent to let' from your current mortgage provider. some charge an admin fee for this, some dont.

you then need to find a lender who will treat the old mortgage as 'self funding' ie. the potential rental income will cover the mortgage payment at around 120%. they will then ignore the old mortgage, which will allow your personal income to be freed up to borrow on the new property. Usually, this is new borrowing is subject to 80% of the new property value.

I am an IFA so what i am saying is correct.

try www.unbiased.co.uk to find an IFA in your area who you can talk it all through with. Hope that helps

Claire x

Oo claires thanks for that, I'll pass it onto my friend. Mind you shes with Northern rock and thinks they won't give her permission to let, but its worth asking. she doesn't have 15% in the property to BTL.