how does a buy to let mortgage work?

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How Do Buy to Let Mortgages Work?

There are lots of different types if mortgage out there, and depending on why you’re purchasing a property will make different solutions the best fit for you.

In this guide, we’ll be telling you all about buy to let mortgages specifically, including what they are, how they work and what you need to do to get one.

What is a Buy to Let Mortgage?

A buy to let mortgage is typically taken out by individuals who are purchasing a property in order to rent it out to someone else. They work in a fairly similar way to a regular mortgage, but there are some key differences.

Do You Qualify for a Buy to Let Mortgage?

Getting a buy to let mortgage will depend on a few personal circumstances. As a general rule your lender will want to be certain that you can afford to take and understand the risks that come with becoming a landlord.

You’ll also generally have to have a food credit score, and not have excessive outstanding debt – such as on credit cards for example.

Some lenders will also have restrictions around age limits and minimum income. To find the best deal for you, you’re best speaking with a mortgage broker (like us!) who can shop around and find you the perfect mortgage solution.

How is a Buy to Let Mortgage Different to a Regular Mortgage?

As we’ve said already, a buy to let mortgage and a regular mortgage share many similarities.

However, there are some key differences you need to know about if you’re considering taking one out.

Buy to let mortgages tend to come with much higher fees and higher interest rates. You’ll also need a higher deposit than you would if you were applying for a standard mortgage product.

The terms for different lenders vary, but some buy to let mortgage providers offer interest only loans, meaning you pay the interest on a monthly basis and then pay the original loan in full at the end of the mortgage term.

How Much Can You Lend with a Buy to Let Mortgage?

The amount you’ll be able to borrow with a buy to let mortgage will be linked with the amount of rental income you’ll receive from your investment property. Usually, your rental income will need to be around 25-30% higher than your monthly mortgage

How to Get a Buy to Let Mortgage?

There are lots of buy to let mortgage providers out there – so it’s important to shop around.

What’s the best way to do this? Well, lucky for you you’re already in the right place. Here at Mortgage to Home, we have access to a huge number of mortgage providers to make sure you get the best solution for you.


Ready to find out more? Send an email to for FREE mortgage advice and start your investment journey! 

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