Buy-to-let Mortgages

B Mortgage Services Gloucester

A buy-to-let mortgage is one that is used for a property that is bought with the intention of renting out. If you use a residential mortgage for a property that you rent out you could be in breach of your agreement with your lender.

To rent out your property you’ll need to obtain permission from your lender or switch to a buy-to-let product.

Why B Mortgage Services?

B Mortgage Services Gloucester

Save time and money

Leave the searching to us. We could save you money, time and stress by searching for a great deal with our whole-of-market approach.

B Mortgage Services Gloucester

Feel confident

Our brokers have decades of experience between them and over 100 verified 5-star reviews on Vouchedfor, so you can trust you’re in good hands.

B Mortgage Services Gloucester

Personal advice for you

We know everyone is different. We take the time to understand your unique situation in order to look for the best product to suit your circumstances.

Make the most of your property investment

Enquire with us today.

Want to rent out a property?
Here’s what you need to consider


Buy-to-let mortgages are often interest-only products, meaning you only pay off the interest monthly and not any of the outstanding loan. In these instances, the balance of your loan is paid off at the end of the term, usually by the sale of the property.

Rental Estimation

You’ll need to provide a rental estimation to your adviser, which can be obtained from an estate agent when you’re viewing properties. A lender will use this to determine what you can afford in monthly interest payments when providing your Decision in Principle.

Additional Taxes

There may be additional taxes associated with owning a buy-to-let property, such as higher stamp duty fees, income tax on any money you make from rent, and capital gains tax when you come to sell the property.

Who Can Apply?

Anyone can apply for a Buy-to-let mortgage but first-time buyers or those with large portfolios may have fewer options when it comes to lenders offering them buy-to-let products.

Required Deposit

Buy-to-let mortgages tend to require larger minimum deposits than residential mortgages; usually around 25% compared to 5-10%.

Speak to one of our mortgage experts

You can be sure that our specialist Mortgage Advisers will always:

Listen carefully to your mortgage requirements

Search the whole market to find the most cost-effective product

Be there to answer any questions you may have

Visit you at a time and a place that’s most convenient to you

Provide a service in which you can have total confidence

Buy-to-let enquiry

Please fill in the form below and one of our Mortgage experts will be in touch.

i.e best time of day to call you

Frequently Asked Questions about buy-to-let mortgages

One of the main differences between a residential mortgage and buy-to-let mortgage is that you will require a larger deposit, usually at least 25%. As well as this, buy-to-let mortgage products are often interest-only, meaning that you won’t be repaying any of the capital you borrowed until you come to the end of your mortgage term.

Yes, you may be able to find a product that is available to first-time buyers for which you meet the criteria. However, some lenders will not consider offering buy-to-let mortgages to non-homeowners and usually require a large deposit and significant, steady income

This depends on the type of property, the location and size of the property. Most rental properties tend to cost less than residential homes and many landlords will typically look for properties that will offer a decent rental return. The average value for a buy-to-let property in January 2020 was £165,247. This is compared with an average of £274,773 for residential homes according to MoneySuperMarket mortgage search data.

Your interest rate on a buy-to-let mortgage will depend on a variety of factors including the value of the property, the amount of your deposit, your financial circumstances and the amount of rental income you expect to make.

The fees associated with buy-to-let mortgages are generally higher than residential property mortgages. These may include the following:

• Stamp duty, surveyors’ fees and other charges associated with buying
• Rental income tax
• Building and landlords’ insurance
• Rent insurance (optional)
• Letting agents’ fees, if using
• Maintenance and repairs for the property
• Ground rent (if applicable)

You may want to investigate landlord regulations and responsibilities to find out more about the costs involved in buying a property to let.

If your rental mortgage is an interest-only deal, you’ll need to repay the full amount of your mortgage at the end of the term. You may have the option of extending your mortgage or you might decide to sell your property. If you come to sell and the property price has increased, you’ll make a profit. However, if the value of the property has decreased, you’ll still need to pay back the full amount that you borrowed.

Guides related to buy-to-let

Your buy to let property may be repossessed if you do not keep up repayments on your mortgage. Unlike most other mortgage advice, advice on buy to let mortgages are not regulated by the Financial Conduct Authority (FCA).