Remortgaging to release equity
Discussion
How difficult is it to remortgage to release equity these days?
I have a three BTL properties all with around 60% LTV. My fixed rate mortgages expire at the end of the year and I would like to remortgage two properties at an LTV of 75% to release £200k to buy another BTL.
I have never remortgaged to release equity before but hear it is more difficult than what YouTube tells you.
A friend tells me that the bank will ask for details of the potential purchase property before considering lending more than the existing mortgage. However I won't have details of the property as I don't know how much equity I will be able to obtain from the mortgage. Some have said to instead tell the bank that the money is to be used for refurb and car purchase.
Are lenders really this difficult? If the equity is there then surely I should be able to access it.
I have a three BTL properties all with around 60% LTV. My fixed rate mortgages expire at the end of the year and I would like to remortgage two properties at an LTV of 75% to release £200k to buy another BTL.
I have never remortgaged to release equity before but hear it is more difficult than what YouTube tells you.
A friend tells me that the bank will ask for details of the potential purchase property before considering lending more than the existing mortgage. However I won't have details of the property as I don't know how much equity I will be able to obtain from the mortgage. Some have said to instead tell the bank that the money is to be used for refurb and car purchase.
Are lenders really this difficult? If the equity is there then surely I should be able to access it.
In my experience, no. I have increased LTV on a rental property without any issues, as long as you are not going crazy with the level of LTV. In fact, they lent me a bit more than I expected as their internal model of the current value was higher than mine, and as long as I accepted that model, no further valuation was required.
Ethera said:
How difficult is it to remortgage to release equity these days?
I have a three BTL properties all with around 60% LTV. My fixed rate mortgages expire at the end of the year and I would like to remortgage two properties at an LTV of 75% to release £200k to buy another BTL.
I have never remortgaged to release equity before but hear it is more difficult than what YouTube tells you.
A friend tells me that the bank will ask for details of the potential purchase property before considering lending more than the existing mortgage. However I won't have details of the property as I don't know how much equity I will be able to obtain from the mortgage. Some have said to instead tell the bank that the money is to be used for refurb and car purchase.
Are lenders really this difficult? If the equity is there then surely I should be able to access it.
Two pieces of advice;I have a three BTL properties all with around 60% LTV. My fixed rate mortgages expire at the end of the year and I would like to remortgage two properties at an LTV of 75% to release £200k to buy another BTL.
I have never remortgaged to release equity before but hear it is more difficult than what YouTube tells you.
A friend tells me that the bank will ask for details of the potential purchase property before considering lending more than the existing mortgage. However I won't have details of the property as I don't know how much equity I will be able to obtain from the mortgage. Some have said to instead tell the bank that the money is to be used for refurb and car purchase.
Are lenders really this difficult? If the equity is there then surely I should be able to access it.
1) Don't commit mortgage fraud
2) Speak to someone who know what they are talking about
Sarnie said:
Ethera said:
How difficult is it to remortgage to release equity these days?
I have a three BTL properties all with around 60% LTV. My fixed rate mortgages expire at the end of the year and I would like to remortgage two properties at an LTV of 75% to release £200k to buy another BTL.
I have never remortgaged to release equity before but hear it is more difficult than what YouTube tells you.
A friend tells me that the bank will ask for details of the potential purchase property before considering lending more than the existing mortgage. However I won't have details of the property as I don't know how much equity I will be able to obtain from the mortgage. Some have said to instead tell the bank that the money is to be used for refurb and car purchase.
Are lenders really this difficult? If the equity is there then surely I should be able to access it.
Two pieces of advice;I have a three BTL properties all with around 60% LTV. My fixed rate mortgages expire at the end of the year and I would like to remortgage two properties at an LTV of 75% to release £200k to buy another BTL.
I have never remortgaged to release equity before but hear it is more difficult than what YouTube tells you.
A friend tells me that the bank will ask for details of the potential purchase property before considering lending more than the existing mortgage. However I won't have details of the property as I don't know how much equity I will be able to obtain from the mortgage. Some have said to instead tell the bank that the money is to be used for refurb and car purchase.
Are lenders really this difficult? If the equity is there then surely I should be able to access it.
1) Don't commit mortgage fraud
2) Speak to someone who know what they are talking about
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