Specialist
Buy To Let Portfolio Mortgage
For Remortgaging & Buying Property In The UK
For Remortgaging & Buying 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
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Latest buy to let portfolio mortgage case study:
A buy-to-let portfolio mortgage is a loan designed specifically for property investors with multiple rental properties. Instead of managing several individual buy-to-let mortgages, a portfolio mortgage allows you to consolidate them into one, making it simpler to keep track of your finances and streamline your property investments.
Portfolio mortgages have some distinct features:
The lender assesses your entire portfolio, considering your properties' combined value and financial situation.
They typically require a larger deposit compared to individual buy-to-let mortgages.
Lenders may have specific eligibility criteria for borrowers, such as a minimum number of properties or a minimum rental income.
BTL portfolio finance works by holding all of the lending through one provider rather than having multiple BTL mortgages from different lenders. This can make it much easier for landlords with a large portfolio of properties to manage their mortgages.
To be considered to be a portfolio landlord if you own over three investment properties.
Our specialist mortgage service can help you secure the funding you need to purchase your ideal BTL property to add to your portfolio, even if your situation is complicated. We can source funding for expats, non-residents, international buyers et al.
When you have a buy-to-let portfolio mortgage, you combine all your individual property loans into one. This means you'll have a single lender, one monthly payment, and a unified interest rate across your entire portfolio. It streamlines the process and can help you manage your finances more effectively.
Here's a more detailed breakdown of how it works:
Research lenders that offer portfolio mortgages and compare their rates, terms, and eligibility criteria.
Apply for a portfolio mortgage with your chosen lender, providing information about your property portfolio, rental incomes, and financial situation.
The lender assesses the value of your entire property portfolio, your overall financial situation, and your ability to manage multiple rental properties.
If approved, you'll receive a single mortgage for the combined value of your properties, with one monthly payment and a unified interest rate.
A buy-to-let portfolio mortgage can be advantageous for landlords with multiple properties, as it simplifies the management of their investments and can potentially lead to better mortgage rates. However it can sometimes be cheaper to finance all your properties separately - it depends on the make-up of your property portfolio and your current finance arrangements.
It can also involve a huge amount of paperwork and administration to compare deals and rates and complete an application practically. You'll need your entire property portfolio stress tested for each quote. At Clifton Private Finance, we specialise in BTL portfolio mortgages and can take the stress out of your application.
Deciding between a single portfolio mortgage or separate mortgages for each property depends on your circumstances and investment goals. Here are some factors to consider and the pros and cons of each option:
Easier to manage: Managing your mortgage is more straightforward with just one payment and one lender.
Potential for better rates: Lenders may offer lower interest rates for more significant loan amounts, which can result in cost savings. (However, it can also be cheaper to spread your borrowing across individual properties with separate deals - it depends on your situation).
Streamlined refinancing: Refinancing your entire portfolio can be more straightforward and potentially more cost-effective than refinancing each property individually.
Limited options: Not all lenders offer portfolio mortgages, so your choices may be limited.
Cross-collateralisation: If one property underperforms or its value decreases, it could impact the entire portfolio and affect your ability to access equity or sell properties.
More lender options: You can choose from a broader range of lenders, which can help you find better rates and terms.
Flexibility: You can sell individual properties or repay single lines of finance without affecting the rest of your portfolio.
Separate finances: The performance of one property won't directly impact the others.
More complex to manage: You'll need to deal with multiple lenders and mortgage payments, which can be time-consuming and challenging.
When deciding between a portfolio mortgage or separate mortgages for each property, carefully weigh the pros and cons and consider your long-term investment goals.
If you're unsure, speak to a specialist mortgage adviser with experience in BTL portfolio mortgage advice.
Interest rates for buy-to-let portfolio mortgages can vary based on factors like the size of your portfolio, your credit score, the lender you choose. and the types of properties within your portfolio.
Generally, you might find that portfolio mortgage rates are slightly higher than individual buy-to-let mortgages due to the perceived higher risk associated with multiple properties. However, this isn't always the case, so shopping around and comparing offers from different lenders is essential.
Remember that some lenders may offer discounted rates for more significant loan amounts or borrowers with a robust financial profile.
To secure the best possible rate, maintain a good credit score, demonstrate a stable rental income, and present a well-maintained property portfolio.
An experienced mortgage broker can connect you with the most appropriate lender for your portfolio.
If you're a property investor who has set up a limited company for your investments, you can also obtain a portfolio mortgage for your company.
In many cases, limited company portfolio mortgages offer tax advantages and make managing your properties easier.
Here's what you should know about limited company portfolio mortgages:
These mortgages are designed specifically for property investors with multiple properties under a company structure.
They often have similar interest rates and terms to standard buy-to-let portfolio mortgages but may have additional requirements related to the company's finances and creditworthiness.
When applying for a limited company portfolio mortgage, you'll need to provide details about your company's financial performance, including company accounts, tax returns, other relevant documents, and information about your property portfolio.
Limited company portfolio mortgages can be attractive for investors who want to take advantage of potential tax benefits and separate their personal finances from their property investments.
Related: How to get a limited company buy to let mortgage.
There isn't a one-size-fits-all answer when choosing the best portfolio mortgage lender, as different lenders cater to specific types of borrowers or offer unique products and terms. Some lenders specialise in portfolio mortgages, while others cater to limited companies or portfolio landlords with a certain number of properties.
Other lenders are more familiar with HMO properties, while another might be more comfortable with buy to lets om highstreets and close to commercial properties like shops and pubs.
When searching for the best lender, consider the following factors:
Interest rates: Compare rates from multiple lenders to find the most competitive offer.
Fees: Look for hidden fees or charges that could impact your mortgage costs. These may include application fees, valuation fees, or early repayment charges.
Flexibility: Some lenders may offer more flexible terms, such as early repayment options, the ability to add or remove properties from your portfolio, or opportunities to release equity from your properties.
Reputation and customer service: Research the lender's reputation, read customer reviews, and consider their responsiveness to enquiries and requests.
Take your time and compare different lenders to find the one that best meets your needs and preferences. If you're unsure, speak to an advisor.
To get a buy-to-let portfolio mortgage, follow these steps:
Assess your property portfolio: Make sure you clearly understand the value of your properties, the rental income they generate, and the expenses associated with managing and maintaining them. Getting it organised in a master spreadsheet helps.
Research lenders: Look for lenders specialising in portfolio mortgages and compare their offers regarding interest rates, fees, and eligibility criteria.
Prepare your documentation: Gather financial statements, property details, rental agreements, tax returns, and any other relevant documents lenders may require. If you're applying for a limited company portfolio mortgage, you must also provide company-related financial documents.
Apply: Complete the application process with your chosen lender, providing all required documentation and answering any questions they may have about your property portfolio and financial situation.
Await approval: The lender will assess your application, considering the combined value of your properties, your overall financial health, and your ability to manage multiple rental properties. They will then determine if you qualify for a portfolio mortgage.
Following these steps and carefully considering your options, you can obtain a buy-to-let portfolio mortgage that suits your investment needs and objectives.
Related: How to pass your BTL mortgage stress test.
No specific number of properties defines a portfolio, but lenders typically consider a borrower with three or more rental properties as a portfolio landlord. However, some lenders may have different criteria, so clarifying their requirements is essential when considering a portfolio mortgage.
A portfolio landlord is a property investor who owns multiple rental properties, often financed through a buy to let portfolio mortgage or several individual buy to let mortgages.
Some investors manage their properties as a single unit, benefiting from streamlined financing and potential economies of scale. Portfolio landlords are typically more experienced in property investment and management than individual buy-to-let landlords.
The amount of money you need to start a property portfolio in the UK depends on factors like the property type, location, and your investment strategy. Generally, you'll need a deposit of at least 20-25% of the property value for each buy-to-let mortgage.
Additionally, consider costs like stamp duty, legal fees, property management expenses, and any necessary renovations or repairs.
As you expand your portfolio, remember that lenders may have specific requirements for borrowers with multiple properties, such as higher deposit requirements or a minimum rental income threshold.
Rules on buy-to-let mortgages can vary between lenders, but some standard requirements include the following:
A minimum deposit, usually between 20-25% of the property value.
A minimum age requirement, often 18 or 21 years old.
Maximum age at the end of the mortgage term, typically around 75 years old.
Sufficient rental income to cover mortgage payments, usually at least 125% of the monthly payment.
Good credit history and the ability to demonstrate responsible financial management.
Remember that rules and requirements can differ, so always check with your chosen lender for their specific criteria.
There's no specific limit on the number of buy-to-let mortgages you can have. However, lenders may impose limitations based on your income, credit history, and the overall value of your property portfolio.
As you add more properties and mortgages to your portfolio, you may find that some lenders are more hesitant to lend to you, while others may have specialised products designed for portfolio landlords.
A property portfolio can be a good idea if you're an experienced investor looking to diversify your investments and generate passive income.
However, managing multiple properties can be challenging and requires significant time and effort.
Considering your investment goals, risk tolerance, and available resources is essential before building a property portfolio.
If you're prepared for the challenges and potential rewards, a property portfolio can be valuable to your investment strategy.
More buy to let portfolio case studies:
£3.3m buy to let portfolio remortgage in Torquay »
Buy to let portfolio stress test solution for £580k Kent property »
Refinancing 20 buy to let portfolio properties at £3.1m lending »
Structured property portfolio finance for student HMOs in in Sussex »
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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
