*The maximum loan, rate and loan-to-value ratio offered may be reduced depending on the property and your credit profile. Loans above £250k will be referred.
Renting out your property could prove lucrative so we understand why becoming an accidental landlord is sometimes an appealing option. This could mean you need to remortgage before renting out your property – perhaps because your existing mortgage provider doesn't do buy-to-let mortgages, or because you need to complete renovations.
Anyone can be a landlord these days, thinking about renting out your property to provide a second income, or boosting your pension pot further down the line, we may be able to help.
Our common-sense approach means we can also consider applications that some other lenders sometimes struggle with, such as if you already have a mortgage on the property, you're self-employed, work several jobs, have already retired or if you’ve got less-than-perfect credit history.
Do you want to quickly understand the potential cost of your mortgage?
We can give you an idea of the monthly costs with just a few details like the property value, your deposit amount and how long you need the loan to last.
Calculate costs
A buy-to-let mortgage is a mortgage on a residential property that you intend to rent out.
You can get a buy-to-let mortgage on a property you're buying, or a property you already own and want to turn into a rental (like a property you've inherited).
In most cases, your buy-to-let mortgage will be considered a type of commercial loan. Having said that, a small number will be considered personal finance and will therefore be regulated by the Financial Conduct Authority.
If you've already got a mortgage on your home and want to rent it out, you may not need to do anything. Speak to your existing mortgage provider to find out; some lenders will give their consent, and some will insist you switch to a specific buy-to-let mortgage product. It often depends on the circumstances.
If they're insisting you switch, remember you have the option to shop around. Make sure you check if there are any Early Repayment Charges associated with switching to another lender.
Buy-to-let mortgages work much like any other mortgage. You put down a deposit, and borrow the balance of the price of the property as a mortgage.
There are usually two types: interest-only, and capital repayment.
With an interest-only mortgage, your monthly payments are smaller because they only cover the interest you’re incurring each month – and the balance you borrowed initially must be repaid as a lump sum, when the term of your mortgage ends.
With a capital repayment mortgage, your monthly payments are larger and cover both the interest and what you initially borrowed – so when the term ends, you own the property outright.
In addition, you can choose between a fixed-rate and a variable-rate mortgage. If you choose a fixed-rate, your repayments are locked-in for a set period at the start of your mortgage, while on a variable-rate mortgages the interest can be varied by the lender (after giving you a bit of notice).
Because of this, fixed-rate mortgages offer more peace of mind, but tend to have higher interest rates.
We charge a Lenders Arrangement Fee, and some of our Buy to Let mortgages include an Early Repayment Charge, which you'll pay if you elect to remortgage with another lender or repay your loan in full before the term ends.
We also charge a Redemption Administration Fee when you 'redeem' (i.e. fully repay) your mortgage, to cover costs associated with closing your account and dispensing our legal claim to your property.
All of these fees can vary, so we'll ensure that the fees that apply to your particular mortgage are clearly explained before you sign on the dotted line.
Other fees and charges may be applied to your account during the life of your mortgage, in relation to the management of your account (for instance, if you fall behind on your monthly payments). These are all explained in our Tariff of Charges.
Yes, we’ll consider applications from first-time buyers for a Together Buy to Let mortgage and treat them the same as anyone else. This includes both first-time property investors and people who’ve never owned their own home as well.
When you apply for a mortgage, you’ll need to go through our application process and provide certain documents so we can get a clear picture of your circumstances and what you can afford to borrow.
To help you prepare any documents required we've pulled together a mortgage application checklist so you can move quickly and smoothly when the time comes.
Mortgage application checklistFor example: A mortgage of £100,000 payable over 15 years, initially on a fixed rate for 5 years at 9.45% (and then on a tracker rate for the remaining 10 years at 2.14% above the Together Homeowner Managed Rate (THMR)) would require 60 instalments of £1,067.24 followed by 120 monthly payments of £1,133.40 plus a redemption administration fee of £110.00. Read more information on THMR.
The total amount payable would be £200,152.40 made up of the loan amount (£100,000) plus interest on the loan (£95,465.33), arrangement fee (£2,500) plus interest on this fee (£2,187.07) and the redemption administration fee (£110.00).
The overall cost for comparison is 10.9% APRC representative.
The actual rate available will depend upon your circumstances. Ask us for a personalised illustration.
