ChatterBank5 mins ago
Buy-to-let mortgage or normal mortgage?
Can you only get a buy-to-let mortgage if you are renting out your whole house (i.e. you're not going to live there and just rent 2 rooms out)?
Are there any differences in the amount you can borrow and the interest rates?
Also, is it true with a buy-to-let mortgage the mortgage repayments are counted as an expense therefore you don't pay tax on part of the rent that goes on the mortgage, but you do with a normal mortgage?
Answers
No best answer has yet been selected by sammd. Once a best answer has been selected, it will be shown here.
For more on marking an answer as the "Best Answer", please visit our FAQ.The interest rate on a buy-to-let mortgage is usually higher than a normal mortgage - you would need to shop around and see if any lender would give you a normal house buyers mortgage in the cirumstances you describe.
Only the interest is allowable as an expense against rents received for tax purposes(and then, only the proportion relating to the let part of the house). Capital repayments are not allowed. This is the same, whatever type of mortgage you get.