Buying a rental with no deposit ?
Discussion
Speaking to someone today they suggested they were buying a property to rent out using only the equity in the home as security for the mortgage.
Pondering my retirement a second rental property would be great - but we have no savings, we do have a decent wedge of equity though.
Spoke to my bank today when i went to pay some cheques in and they said no can do.
Anyone had any luck, got any ideas?
Pondering my retirement a second rental property would be great - but we have no savings, we do have a decent wedge of equity though.
Spoke to my bank today when i went to pay some cheques in and they said no can do.
Anyone had any luck, got any ideas?
Blakeatron said:
Speaking to someone today they suggested they were buying a property to rent out using only the equity in the home as security for the mortgage.
Pondering my retirement a second rental property would be great - but we have no savings, we do have a decent wedge of equity though.
Spoke to my bank today when i went to pay some cheques in and they said no can do.
Anyone had any luck, got any ideas?
It's not possible as far as I'm aware.......Pondering my retirement a second rental property would be great - but we have no savings, we do have a decent wedge of equity though.
Spoke to my bank today when i went to pay some cheques in and they said no can do.
Anyone had any luck, got any ideas?
Blakeatron said:
Spoke to my bank today.....
That's an achievement in itself!My bank has replaced its human staff with a row of machines. OK, I could live with that. But the machines are all the same "one size fits all" height from the floor. No doubt that height is ideal for people in wheel chairs or of short stature. However, for anyone my height the screen is almost invisible and one needs to adopt an absurd and uncomfortable crouching position to use the darned thing. Such is the price of "progress"....
Blakeatron said:
Speaking to someone today they suggested they were buying a property to rent out using only the equity in the home as security for the mortgage.
Even if one could do this it’s not clear why one would.If you bring your primary residence into the security net for a BTL you significantly increase your likelihood of losing your home if anything goes tits up.
We tried to remortgage about 3 or so years ago with our house which must of had half a million in equity.
We only wanted to release £100k so to speak but every bank said no as they would only base lending criteria on earnings.
We did find one bank that would agree to do it but only at a ludicrous interest rate.
Good luck OP. Let us know if you manage it.
We only wanted to release £100k so to speak but every bank said no as they would only base lending criteria on earnings.
We did find one bank that would agree to do it but only at a ludicrous interest rate.
Good luck OP. Let us know if you manage it.
Sarnie said:
Blakeatron said:
Speaking to someone today they suggested they were buying a property to rent out using only the equity in the home as security for the mortgage.
Pondering my retirement a second rental property would be great - but we have no savings, we do have a decent wedge of equity though.
Spoke to my bank today when i went to pay some cheques in and they said no can do.
Anyone had any luck, got any ideas?
It's not possible as far as I'm aware.......Pondering my retirement a second rental property would be great - but we have no savings, we do have a decent wedge of equity though.
Spoke to my bank today when i went to pay some cheques in and they said no can do.
Anyone had any luck, got any ideas?
Blakeatron said:
Speaking to someone today they suggested they were buying a property to rent out using only the equity in the home as security for the mortgage.
Pondering my retirement a second rental property would be great - but we have no savings, we do have a decent wedge of equity though.
Spoke to my bank today when i went to pay some cheques in and they said no can do.
Anyone had any luck, got any ideas?
How very "2005"Pondering my retirement a second rental property would be great - but we have no savings, we do have a decent wedge of equity though.
Spoke to my bank today when i went to pay some cheques in and they said no can do.
Anyone had any luck, got any ideas?
Nobody will agree to it. However, it has been known for one to draw money against equity for one of the categories they do like to lend you money for. Then using it as a deposit on a btl. Although, I doubt you'd get much further than 'agreement in principle' these days. It's much harder to finance btl these days unless you have some money. Rightly so some would say.
Blakeatron said:
I had a feeling he wasn’t being 100% but didn’t think he was the type to make it up.
Made a few more enquiries and being told the same everywhere.
New question then - minimum deposit to purchase a £175k property?
Don't know about other lenders but the one I'm employed by has 80% products so £35,000.Made a few more enquiries and being told the same everywhere.
New question then - minimum deposit to purchase a £175k property?
Over to Sarnie for the rest.
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