Securing the best buy to let mortgage
A buy to let investment is generally a commercial decision. For this reason, it is vital that we understand your plans at the very outset, so that we can work together to structure the right facility for you. Are you buying or refinancing the property, are your plans long term or short term, what do you intend to do with the property, what are your financial circumstances?
At Oakmead Finance, we source from the whole of the market. By engaging with both our residential and commercial departments and negotiating with the lender, we are able to secure the best terms possible for our clients.
- Loans from £25k to £5m.
- Loans up to 85%.
- No early repayment charges available.
- No minimum income or experience required.
- Onshore and offshore Ltd company lending.
- Portfolio lending.
- Fast and hassle free service.
Our commitment to you
As lenders have differing lending criteria, it is absolutely crucial to source a lender whose lending criteria suits both you and the property you wish to purchase. Failure to do this can either cause time to be lost or can stop the best financing deal from being secured.The true cost of the facilities can also be difficult to work out. Finding the best deal across so many lenders can be time consuming and confusing.
How Oakmead Finance can help
Our team of commercial finance specialists have years of experience in structuring simple and complex buy to let transactions. Because of this, we are best placed to advise and arrange facilities through our network of traditional and specialist lenders within the industry. Contact us to discuss your requirements, explore the options available to you or have us review your existing facility.
We were approached by a client looking to refinance a portfolio of 12 properties across the UK. The client’s mortgage across all 12 properties totalled £5 million and the portfolio had been valued at £6.5 million. His current lender had first legal charge over all the properties.
Previously, our client had been a highly paid company executive but had since left his job and was now earning significantly less.
Due to the level of exposure and the change in his personal circumstances, his existing lender had given notice that they intended to convert all of his mortgages from interest only to a capital and interest basis. This meant that the rental income would not have been sufficient to cover the repayments.
With our client not earning enough to make up the shortfall, he was faced with the prospect of having to sell his entire portfolio.
The client decided to sell 2 of his properties which left him with a portfolio worth around £5.5 million and an outstanding loan of £3.5 million.
Because of our well established relationships with lenders across the whole of the market, we were able to engage with a select number of specialists whose lending criteria fitted our client’s circumstances. Ultimately, we agreed a decision in principal from a mutual building society who were prepared to take the whole portfolio. However, the terms were based on a funding rate of 5.89 per cent and we felt that this was not competitive.
Having secured agreement from one source, we then approached a number of lenders to syndicate the facility and split our client’s portfolio between 3 specialist buy to let providers.
The 10 remaining investment properties were underwritten on a ‘buy to let’ basis, whereby our client proved his earnings and the rent covered the interest only payments with a 25 per cent cushion.
By splitting the properties between lenders, our client was able to benefit from 2 year fixed rate mortgages that ranged between 3.84 per cent and 3.89 per cent. This saved him over £50,000 each year in interest payments, compared to refinancing the portfolio with one lender. We were also able to increase the total borrowing slightly, to £3.8 million which enabled our client to repay a £180,000 loan on a property in Italy and cover the costs of the refinance.
“I was faced with the real prospect of having to sell my property portfolio which I had built up over many years. Peter and his team were brilliant. They didn’t just stop when they had found a lender, but continued to try and find the best deal for me. Despite challenging circumstances, they were innovative, straightforward to deal with and made the whole process as stress-free as possible for me. I would thoroughly recommend them.”
Oakmead Finance Ltd is an appointed representative of HL Partnership Limited which is authorised and regulated by the Financial Conduct Authority.
Oakmead Finance Ltd is a company registered in England & Wales with company number 09478864. The registered office address is 33 Clarendon Way, Chislehurst, Kent, BR7 6RE
Your Buy To Let property may be at repossessed if you do not keep up repayments on your mortgage
The information contained within this website is subject to the UK regulatory regime and is therefore targeted at consumers based in the UK.