5 Way To Become A Successful Buy To Let Investor

What many don’t know is that it’s incredibly easy to get into becoming a BTL landlord, and you may already be sat in a position to do so without even knowing it – but what are some of the key ways to invest?

1)      No savings? No Problem - Even if you currently have no savings, have you thought about remortgaging your residential property and releasing funds to get you going? Even releasing just £20,000 would put you in a position to purchase a £80,000 property which could return £450-£600 per month.

2)      20-25% deposits – potentially think about borrowing the maximum you can. For some start-up investors, this may seem crazy, however by gearing to a higher level, it will leave you in a position with more disposable cash/savings, and will put you in a position to purchase another thereafter, quicker. Why put £50,000 down on one £100,000 property, when you could buy two properties and put £25,000 down on each? You are doubling your monthly rental!

3)      Interest Only – for many, the thought of interest only and not paying back any of the mortgage, doesn’t make sense, but in the world of BTL’s, it makes perfect sense! Lower monthly repayments allow landlords to capitalise on larger monthly cashflows, therefore, providing the ability to save for a deposit on another property, quickly. Once that next property is secured, the time to save a deposit for a 3rd property is then halved, and this procedure can be repeated, with ease, until you have the portfolio you desire.
 

4)      Setting up a LTD Co and save 26% in tax! – if your earnings are over the current limit of £50,271 and you falling into the 40% tax banding, setting us a Special Purpose Vehicle (SPV) in the way of a Ltd Co. (where sole purpose of the company is to own and manage property) to buy property is the way forward. For a Ltd Co., the tax is 19%, and therefore you’re saving yourself 26% tax in the blink of an eye. Not sure how to set up a Ltd Co? Don’t know what code you need to register under to create a SPV for buying and renting property? Speak to a member of our team today to get you started. Our staff are well equipped to deal with these sorts of enquiries. If you do this right, you could save ££££’s (thousands) in tax alone! (not to mention other costs that can potentially be offset - already speak to a tax advisor for further information regarding this).
 

5)      Speak to one of our highly skilled, independant Mortgage Advisors – Behind every successful Landlord, is a fantastic property finance advisor who understand their needs, vision, and how to make is a reality! Chat to an expert, for free, even if you just have a few quick questions… it could make you thousands, and even save you thousands from making a bad decision.

It’s more than just saving for a deposit, it’s about utilising what is available to you!

If you are someone who is looking to invest or discover more about the options available to them - what are you waiting for? Get in touch!

Contact us now:
Call today on 0330 100 1231 - and speak with one of our expert advisers to start your mortgage journey, hassle free and stress free.
Looking to do this in your own time? - click the link below and start online.

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Providing mortgage advice across the UK, our North East mortgage brokers are here to support you. Whether you are moving home, looking for a first time buyer mortgage, looking to remortgage your home, or looking at what buy to let mortgage rates are available to you, we can support any need.

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