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Landlord saves £187 pcm with buy to let product transfer

Landlord saves £187 pcm with buy to let product transfer

We were approached by a full-time landlord looking to remortgage a five-bed terraced house in Birmingham that is let to housing association tenants. The initial mortgage term with BM Solutions was coming to an end which meant that they would revert onto the lender’s standard variable rate (SVR) – currently at 4.59%.

The client wanted to reduce his monthly mortgage payment and had considered remortgaging with a different lender but many do not allow housing associations.

BM Solutions provides a speedy product transfer facility through Mortgages for Business and other registered intermediaries. This meant – no underwriting, no arrangement fee, no legal fee and no valuation fee for the client when switching to another product with BM Solutions on a like for like basis.

Transferring to the new product at a lower interest rate and a longer repayment term meant that the client would save nearly £200 a month in mortgage payments and so happily agreed to the terms offered. The client signed and returned a simple declaration form which we immediately sent on to BM Solutions. The entire product transfer was completed within 24 hours.

Property Details

Here are the details:

Property value: £148,600

Loan amount: £88,194

LTV: 59%

Rate: 4.19% 5 year fixed

Term: 21 years’ capital & interest

Borrower: Individual

Mortgage payment: £525 pcm

Original mortgage payment: £712 pcm

Lender arrangement fee: Nil

Rental income: £860 pcm

Gross yield: 6.9% pa

Consultant: Erin Gallacher, 01625 416 392

 

NB: ANY PROPERTY USED AS SECURITY, WHICH MAY INCLUDE YOUR HOME, MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE

Mortgages for Business Ltd is registered
in England and Wales No. 2502713.

Registered office:
17 Kings Hill Avenue,
Kings Hill, West Malling,
ME19 4UA.

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Mortgages for Business Ltd is authorised and regulated by the Finance Conduct Authority (No. 313537) to transact regulated mortgages. We are a credit broker, not a lender. We work with the whole of market in sourcing a lender for you; we may receive a commission from the lender, and this amount varies between lenders. The FCA does not regulate some investment mortgage contracts. Mortgages for Business Ltd is a founding member of the National Association of Commercial Finance Brokers, the body that promotes best practice within the commercial finance industry. Telephone calls may be monitored or recorded for training purposes.

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