We were approached by an experienced landlord who wanted to release equity from one of his six buy to let properties, in order expand his portfolio.

The property in question – a two-bed flat in a popular North Eastern town – is owned within the landlord’s SPV limited company, of which he is the sole director.

The landlord is 68 years old and was hoping to get a mortgage term past his 75th birthday which meant that the choice of lenders was somewhat limited.

We negotiated with a lender which not only provides buy to let finance to SPV limited companies but also allows borrowing up to 85 years.

In this instance, the landlord chose a mortgage term of 10 years. Here are the details:

Property value: £200,000

Loan amount: £130,000

LTV: 65%

Product: 3.81% term tracker

Term: 10 years interest only

Rental income: £550 pcm

Gross yield: 3.3% pa

Mortgage payments: £413 pcm

Lender arrangement fee: 1% of loan amount (£1,300)

Consultant: Chris Longhurst

Consultant tel: 01732 471607