Founded in Birmingham in 1765, Lloyds Bank is a British retail and commercial bank with more than 45,000 employees and 22 million current account customers. The Lloyds Banking Group Retail is the UK’s largest provider of its kind an is continually diversifying its portfolio with dynamic, flexible and innovative new financial services for businesses and private customers alike.
Before you get a mortgage, you can use an online mortgage calculator to get an idea of how much you will be able to borrow and how much your repayments are going to be. This applies to every kind of mortgage such as buy to let mortgages.
Commercial mortgages are used to purchase a business or to purchase business premises. Generally, lenders ask for a down payment of 25% to 40% of the total value and mortgage terms can run for one year, or up to forty years in total.
Obtaining a commercial mortgage is based on the ability of your business to make the payments. You’ll find that commercial mortgage lenders will examine your company before they quote you an interest rate. They normally look at long-term future plans, the current position and past performance. The interest rate you’re offered may be based on these variables and might be higher if the underwriter recognises higher risk in the proposal. You might have to give a thorough business plan demonstrating you’re able to make payments every month, and a professional valuation is usually required.
To apply for a buy to let mortgage there are a few criteria that you have to meet in order to be eligible. You need to be between 25 and 74 (at the end of the term), you cannot be a first time buyer, and you must already own a piece of property located in the UK. Additionally, you need to have a minimum of 25% of the property price as a deposit, you will be using the property for a rental, and the property has to be in good condition and meet the minimum required value.
Lloyds TSB makes it easy to find out how much you can borrow for a buy to let mortgage. You can have up to three mortgages, or £2 million from the Lloyds Banking Group. Also consider that the maximum amount on a single loan is £1 million and that your personal income, notional rate, and LTV will all come into play.
Your buy to let mortgage won’t be regulated and you have to make your own choice on your mortgage. You need to understand the costs, including the purchase costs, taxation you will pay, and the costs of running your rental.
Help to Buy is a government funded scheme that can help first-time buyers buy a property with a 5% down payment.
There are two ways you can benefit from the Help to Buy scheme:
Free... No Obligation, No Preliminary Credit Checks