What is the eligibility for an Interest Only Buy to Let mortgage?
A number of factors are taken into account by lenders when considering eligibility for an Interest Only Buy to Let Mortgage, which may include;
- A minimum age requirement. Whereas a standard residential mortgage requires a borrower to be 18 years old, it is not uncommon for a lender to expect an applicant for a Buy to Let mortgage to be at least 21, or even 25 years old.
- Property portfolio limits may apply. Lenders will ask for details of all other Buy to Let properties and may restrict the number of mortgages with them to a maximum of 3 or 5. In addition, the total protfolio size will be assessed. For borrowers who have in excess of 10 mortgaged properties, it is likely that a specialist portfolio lender will be the best option.
Although it may be possible for a First-Time Buyer to apply for a Buy to Let Mortgage, many lenders will not process this on Interest Only. There may be exceptions with some of our more specialist lenders. Our Buy to Let specialists can access your situation and make a suitable recommendation.