Specialist
Buy To Let Mortgages
For Refinancing & Buying Investment Property In The UK
For Refinancing & Buying Investment Property In The UK
2 Year Tracker (Remortgage) Subsequent rate 5.55% LTV - 75% Product fee 3% Free Valuation Early redemption charges As at 11th January 2024 5 Year Fixed (Purchase) Subsequent rate 9.59% LTV - 65% Product Fee £3,999 £300 Cashback Early redemption charges As at 11th January 2024 1 to 12 months Purchase & refurb LTV - 60% Buying & Renovating Conversions Auction Purchase As at 11th January 2024 Thank You for your interest - please complete the form below and a member of our team will be in contact.
Buy To Let
Up to £750k
5.4% APR
APRC 8.9%*
Buy To Let
Up to £1m
4.51% APR
APRC 8.1%*
Buy & Refurb
1 to 12 Months
0.55% pm
Contact Us
In this guide, we'll explain the key factors to compare when choosing a buy-to-let mortgage deal for your investment property purchase or remortgage.
In this Guide:
Buy-to-let mortgages function similarly to standard residential mortgages in that they allow you to borrow money to purchase a property.
However, there are some key differences to go over:
While more complex, buy-to-let mortgages allow experienced and first-time landlords alike to fund investment property purchases. Now, let’s look at how to go about comparing these types of mortgages in a little more detail.
When you're comparing buy-to-let mortgage rates, there are a few things you need to keep in mind – most important of all is; the interest rate, the term of the loan, and the fees.
The best way to compare buy-to-let mortgage deals across the market is to use a comparison website. These websites allow you to compare deals from a range of lenders, all in one place. However, there are two main problems with this method:
This is why using a buy to let mortgage broker, like Clifton Private Finance, provides a more comprehensive comparison of the market.
We recommend shopping around for the most competitive interest rates. As independent mortgage brokers, we can access exclusive buy-to-let mortgage deals you may not find yourself direct from lenders.
Even small differences in interest rates can make a big difference over the term of the loan.
In addition to interest rates, compare any fees charged on buy-to-let mortgages:
Some lenders charge application fees too. We recommend factoring all these costs into choosing a competitive deal overall.
The loan-to-value is the percentage of the property's value you wish to borrow. Buy-to-let mortgages generally offer up to 75% LTV, sometimes 85% LTV. The higher the LTV, the higher the interest rate.
If your deposit is at least 25% of the property's value, you'll access better mortgage rates. With a smaller deposit of 15-20%, expect to pay higher rates or fees. Additionally, remortgaging could allow you to access better LTV rates if your property value has increased.
Since 2017, strict affordability rules apply to buy-to-let mortgages regulated by the Financial Conduct Authority (FCA). Lenders must assess affordability not just on current rates, but also on higher stress test rates set by the regulator.
This means meeting minimum rental cover requirements alone may not be enough. Lenders will review your personal income and expenditure to ensure you can still cover your mortgage costs if rates rise significantly.
At Clifton Private Finance, our brokers will guide you through providing the necessary income evidence and documentation to satisfy affordability assessments.
Rental Cover Requirements Lenders require buy-to-let mortgages to meet rental cover tests. This means your expected monthly rental income must cover your mortgage payments by a minimum percentage, typically 125-150%.
The higher your loan-to-value (LTV) and interest rate, the higher the rental cover percentage required. By law, lenders must also assess affordability based on projected interest rates.
If you already own multiple investment properties, remortgaging your portfolio on better terms could save you thousands. Many lenders have specific criteria for portfolio landlords:
With established landlord clients, we understand the complexities of buy-to-let portfolio borrowing. Our expert advice takes the stress out of remortgaging your rental properties.
First-time buyers sometimes purchase property as an investment rather than their main residence. This allows them to get on the property ladder while continuing to rent.
Buy-to-let mortgages are accessible for first-time buyers, but expect higher rates and stricter criteria:
If you’re a first-time investor, our mortgage experts will guide you through providing evidence of a strong financial position to meet lender affordability rules.
Many landlords choose to purchase investment property through a limited company, which can offer tax advantages. The mortgage application process differs for limited companies:
We specialise in limited company buy-to-let mortgages, advising landlords on the best options. With expertise in company accounts analysis, we'll guide you through the process to successfully finance your rental property purchase.
If you've been turned down for standard buy-to-let lending, alternative options can help finance your investment property:
Drawing on our whole-of-market knowledge, we'll explore alternative routes if needed to help you achieve your investment ambitions. Our priority is finding a tailored solution that best fits your financial situation and rental property needs.
If you need to renovate or improve your rental property, specialist refurbishment mortgages allow you to finance the works as part of your overall borrowing.
Light refurbishment mortgages cover smaller updates like new kitchens, bathrooms, windows etc. Heavy refurb products finance major works such as conversions and extensions. Here’s how it works:
With so many options available, the process of securing investment finance can be complex. With that said, here’s how we can help:
As experienced specialists in buy-to-let lending, we've helped hundreds of landlords successfully purchase and remortgage investment properties.
We're familiar with the quirks of different lender criteria and can identify the most suitable products for your situation. If you're considering financing for a rental property purchase or remortgage, contact us today at Clifton Private Finance to review your options. Whether you're starting as a first-time landlord or expanding an existing portfolio, we can help your investment journey go smoothly.
For personalised buy-to-let mortgage advice from expert brokers, book your free consultation at Clifton Private Finance today on 0117 959 5094.
Most lenders will offer buy-to-let mortgages for standard residential properties, along with multi-unit blocks, HMOs, holiday lets, and student properties. Commercial properties may require a commercial mortgage.
Most lenders require a minimum 25% deposit. With at least 25% deposit, better interest rates are available. With a smaller 15-20% deposit, expect to pay higher rates or fees.
Yes, new build properties can be purchased as buy-to-lets. Expect to pay a higher deposit of around 25-30% for new builds. Specialist lenders also offer products suitable for new build investments.
What yield do lenders look for on a buy-to-let property?
There is no set yield, but typically lenders look for rental income to cover 125-150% of the mortgage payments. We'll assess the expected rental yield and make sure it meets lender requirements.
Yes, you can remortgage a buy-to-let at any time to get a better interest rate or release equity. As experienced brokers, we can identify the most competitive remortgage deal.
If your situation is straightforward, it can take 4-6 weeks from application to mortgage offer. Complex cases may take longer. We'll guide you through providing all the necessary documents for a smooth application.
Yes, but the choice is more limited, and you may need a higher deposit (40% or more) and income evidence in English/Sterling. Lenders may also impose country-specific restrictions and rates may be higher than standard deals.
It is possible, but expect to provide a larger deposit and pay higher interest rates. Many lenders will be hesitant to lend to landlords with poor credit histories.
Recent Buy To Let Blogs:
What is top slicing in buy to let borrowing? »
How to get airBnB buy to let mortgage finance »
How to raise finance on multiple properties »
How to use a second charge mortgage to raise finance on your property portfolio »
I approached Clifton Private Finance to help me get a mortgage as an Expat working in the Far East. I would normally 'cut out the middle man' on something like this and try to get myself a deal directly with the banks, but I am now sold on the broker concept and wouldn't hesitate to use Clifton Private Finance again. There were a number of complicating factors such as being an expat, the stamp duty holiday, the sheer amount I wanted to borrow and the fact I wanted it all wrapped up before the Stamp Duty holiday ended. It is clear to me now that the relationship that brokers have managed to foster with their banks means they can simply pull levers and make stuff happen that us ordinary folk cannot. Put simply, they are worth every penny, will take most of the stress out of the lending process, and seem to have access to deals that you just won't find on the internet. Thank you George and Jan for all your hard work!
James M
Luther was excellent. Very clear in his advice and explanations of products and was able to move things on very quickly when we ran into difficulties with the estate agents. Without a doubt I would recommend Luther to all friends, family and colleagues. Luther was a joy to deal with and took a lot of the stress out of a troublesome transaction, from my end. I would view Luther as real asset to Clifton Private Finance Ltd.
William W
The team at Clifton Private Finance has been outstanding, not only in helping me to obtain a mortgage on a slightly unusual home, but also in continuing to provide support and liaise with the lender and solicitors through to completion. Thank you for making the process of buying my first home much easier.
Chantelle S
Sam O'Neill, and the new lender he identified for me, worked tirelessly together using my time constraints, to make sure my mortgage application was completed on time. They are a brilliant company to work with, fast, efficient, open and transparent from the very beginning, and turned a seemingly impossible situation into a viable one. Sam was brilliant throughout the whole process and I would highly recommend him, and his colleague Helen, to anyone without hesitation, I cannot speak highly enough about them.
Myr B
I was incredibly lucky to find Clifton Private Finance after a search on line as their service has been more than exemplary. My point of contact was Sam 0’Neill and he was happy to help at every stage during the application of the bridging loan, making a stressful process much easier to deal with. He was always available by phone or email and gave prompt answers to queries I had as well as always getting back to me when he said he would. That to me is excellent customer service and I cannot thank him personally or the company enough for the support they have given me.
C Jefferey
Adam cannot thank you enough for all your support throughout this arrangement. You have gone more than the extra mile to support us. Without you we would not have got our dream retirement home. You have been most professional and personable. Liz and I would be more than happy if you wanted to use us a reference with respect to any future clients.
Nigel & Liz K - Bristol
You have certainly shown me that you do everything for your clients, including tolerating their excessive emails and questions for updates. I have been kept in the loop, from yourself, about why the delays were occurring (Nationwide, post etc) which I would like to highlight that I really appreciated. I certainly will be able to recommend you to others as and when the need arises.
Mr Morris
I recently contacted Clifton Private Finance after a Google search for bridging finance providers and was immediately struck by their efficiency and support. Forms were emailed over almost immediately and the necessary finance was arranged within a few days. None of the other companies I contacted came close to their professionalism, and the quote that I eventually received was impressive. Thank you Adam, your help has enabled us to reserve the house that we wanted and I certainly recommend you to others.
Mr M. R. - Oxford
Absolutely brilliant. The service was first class, got everything sorted efficiently and were always friendly. Any fees were negligible compared to the service offered. Robert was particularly outstanding.
Charles N
My advisor, Robert, was very helpful in finding the mortgage to suit me. He kept me up to date throughout the process and dealt with any issues when they arose.
Rowena C
