Blog
‘Let-To-Buy’ is emerging as a new type of lettings investment
Thursday, March 20, 2014
Over the past few months we have seen a new trend emerging on the lettings market which is being driven by everyday home owners. ‘Let-To-Buy’ is the term given to homeowners who are now exploring the possibility of renting their family home, drawing on the equity built up, to help bridge a deposit for buying a new family home to live in. In many cases this type of investment works for homeowners who need to move when their children start their secondary school – and moving ensures that they are in the right catchment area for their preferred schools. For the homeowner it is a win-win situation where they can off-set their current mortgage and still be able to afford to buy a second family home, offering a sound investment for the future.
These types of family homes tend to be in good locations, near good schools and local amenities which are attractive for other families looking to rent. There are, of course a few financial technicalities that need to be considered, such as whether there is enough equity in your property to allow for a Let-To-Buy mortgage. You will need to also investigate the Let-To-Buy mortgage rates using a good mortgage broker. We can offer the services of our independent mortgage broker (Mortgage Advice Bureau) based in our Ashford office. Our sales and lettings teams would also be on hand to advise and offer a free market appraisal on the value of your home for letting or selling.
The fact that this type of investment expansion is now becoming quite popular is a good indicator of how strong the lettings market is performing locally. Please come and speak to us if you would like to know more about this type of investment buying, or would simply like to place your property on the market to let. We need more properties to let to cater for our long list of waiting tenants.
