Updating post from Reddit.
Hi,
I'm a first time buyer but want to do a BTL as I will be moving out the country for a few years next year and want to generate income with my savings when I'm away
I've set up a LTD. Company as there is the potential to add to my portfolio and i do not want to my my first time buyer "benefit" yet as property is not too expensive.
What are the steps I need to take?
Do I need to find an accountant first or do I find an account at the end after finding a peoperty and getting a MIP?
Also at which stage do I get a solicitor involved?
I will be grateful with any advice
Thank you 😊
You don't need an Accountant immediately; engaging one when you have a BTL Property is fine. You may want to talk to an IFA who will recommend alternatives like savings accounts instead of starting a business.
You don't need a Solicitor, either. Your Mortgage Adviser will recommend one from your Mortgage Lender's approved list.
The next step is to find a good rental opportunity on RightMove/Zoopla while sending your mortgage adviser your information, that of your new company, and documents like income/ID/proof of deposit.
You want a mortgage adviser first to sanity-check your plans while you are shopping around for a property.
The team at https://cyborg.finance/buy-to-let is a specialist in buy-to-let mortgages and will advise you.
Your situation is not simple, not all lenders are fond of lending money to First Time Buyer (FTB), First Time Landlords especially so once your an expat.
The key is finding a good property, so you may want to engage a local lettings agent. If you're moving abroad you will need one to manage the property(s).
You will need a fully managed letting agent if you are not around. Be prepared to be stung with that. First year most likely will be a loss. Don’t forget all the legislations you need to abide by don’t think an agent will make sure you are all above board you will Be ultimately responsible. Personally with this being your first ever purchase and not being in the country is asking for trouble.
Nothing in your post has suggested you want to be a business owner and landlord.
There are other ways to generate income from your savings while you’re away, it doesn’t have to be BTL which isn’t as lucrative and is very restrictive as it was 20 years ago.
Just double check you’re making the right choice…
I’m in the process right now. Live in the USA but visited a mortgage broker for information while I was back home in the UK last month.
They’ve found some lenders that are willing to offer me a BTL mortgage with 75% LTV.
I’m still a tad hesitant because pretty much 99% of my research says this is a terrible idea, and I have had good success following my research results.
But we’ll see, currently debating sending them 1K for the mortgage arrangement fee 👍