Can I Get A Buy To Let Mortgage Without A Job?

Many people see property as an investment and often consider going into the rental market as a way to make a regular income. But before rushing into this there are several things to consider, the most important being can I get a buy-to-let mortgage without a job?

The simple answer is it is most unlikely because the rental business is risky and there are periods when the property is bound to be empty but the mortgage still has to be paid.

Because these buy-to-let mortgages are only available to people who purchase property specifically to rent out the interest rates tend to be higher than residential mortgages. It will be difficult to find a lender who will be willing to let you take out a buy-to-let mortgage if you do not already own a house whether it is outright or on a mortgage. There will also be a problem obtaining this specialist type of mortgage if you do not have a job because most lenders require people to be earning at least £25,000 per annum before they will consider granting a buy-to-let mortgage.

One of the reasons is a minimum deposit for buy-to-let mortgages is around 25% of the value of the property and the amount of mortgage you receive will be linked to the rent. So the rent received has to be 25% higher than the mortgage money you have been granted. Low-rental properties are unlikely to attract many mortgage lenders.

In the current financial climate lenders need to ensure that landlords can meet the mortgage repayments and have enough money to carry out necessary repairs which they are required to do under the terms of the lease. For more information, see this Javea real estate agent site: www.javea.properties

It is completely different re-possessing a property because the resident owner cannot meet the mortgage repayments to re-possessing one which is tenanted because, provided they pay their rent on time, it is not their fault or responsibility if the landlord cannot meet the repayments on the buy-to-let mortgage.