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Independent financial advice - the advantages of buy to let

If you are taking independent financial advice about entering the buy to let market, this may help.

Your first time buy to let mortgage

Many investors are taking independent financial advice with a view to becoming a landlord with a buy to let mortgage. There are advantages to buy to let:

  • You will receive a guaranteed extra monthly "salary"
  • Over time your property will appreciate in value so you can make a profit when you sell it
  • If you use a reputable letting agent, the letting process should be relatively simple
  • The buy to let market is unlikely to nosedive, and at worst might level out
  • Independent financial advice generally regards letting as a relatively stable investment

The need for affordable housing

The fact that some companies are now lending 125% on a mortgage indicates how difficult it is to get onto the property ladder. The buy to let boom hasn't abated and the need for affordable housing, particularly in the private rental sector, is greater than ever. This could make it the ideal investment for someone taking independent financial advice about saving for the future.

Potential tenants

The most obvious market for your property is the student population, although more and more young professionals are renting as they try to save enough to get a deposit for their first purchase.

When you are looking for a property with rental potential, there are some very common sense factors to remember before taking independent financial advice :

  • Keep a level head. You may fall in love with a property, but you won't be living there
  • If you're looking to buy in a student area, you should look at properties that can house a number of people, with large bedrooms suitable for sharing
  • Factor safety check costs, such as booking a CORGI registered engineer to examine gas appliances, into your budget before you take independent financial advice on which mortgage is right for you
  • If you're looking to attract young professionals as tenants, check amenities such as parking, transport links, bars and restaurants
  • Don't be tempted to buy a property that is clearly going to need a large upkeep, such as a house with a big garden, unless you are prepared to put the maintenance work in.

Buy to let is an attractive option as an investment in your future, so make sure that you take good independent financial advice before embarking on your purchase.

You can have a brighter financial future. If you would like independent financial advice about a buy to let mortgage call our experienced advisers today on 01424 777 156 or e-mail mike.robertson@mraltd.com