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Buy to Sell Mortgages

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Buy to Sell Mortgages

Help for those buying a property to sell it on for profit

The term “buy to sell mortgage” is often used to describe finance for a property purchase with the intention to sell the property on in the short to medium term. It is usually used by those looking for property development finance to buy, renovate and sell quickly but there is a great variety of different possible uses for it. One example from my experience are those helping family members or friends get a house quickly until they can find the finance to get it back off of them later. In most of these cases clients are looking to sell the property on in the short term.

If this is your situation there are a number of different financial options that I have written about below. If you’re considering purchasing a property for later sale then get in touch with us to explain your situation and we will get back to you right away to let you know what would be the best financial solution to fit your needs. We have brokers who are well experienced in this area and any initial advice is completely free, objective and under absolutely no obligation.

(what about putting this?) The form below will put you straight through to one of our three buy to sell experts: Pete, Carl or Alan.

Buy to Let Mortgages for Property Sale

Being a very popular and common form of residential property mortgage, particularly in 2013 and moving on to 2014 where Buy to Let has seen unprecedented growth, the benefits of this type of mortgage are in the wide variety of financial products available.

Many people take comfort from using a well-known high street lender rather than a smaller lending operation. Nearly all the well-established residential mortgage banks in the UK also have BTL products available. This means a wider variety of products to choose from leading to a higher likelihood of finding better rate.  We have access to the whole of the market so you can be sure you’re getting the best deal.

Buy to Let is usually more suitable for those looking at turning over the property for sale in the medium term, rather than the short term. Typically, the minimum mortgage term for a buy to let mortgage is three years and products with less than 3 years are rare. If there is one available we will find it for you.

Buy to let is usually suitable for those who are either looking at longer term gradual development of a property or where the remedial work to be done won’t be very intrusive to those living in the house and, thus, the tenants can help to pay the mortgage whilst the property is being developed.

Bridging Finance for Quick Purchase and Sale

 

Securing finance that is both affordable and flexible can make a huge difference to the success or failure of your quick purchase, renovation and sale plans. Most people in this situation choose bridging finance as the most suitable solution.

Bridging finance can be used for almost anything provided you can demonstrate a good entrance and exit plan and you are able to provide adequate security to the lender. It is used for property redevelopment prior to sale, to purchase a larger property before sale of a current property, using a leverage when quickly purchasing a property or for any other reason for needing a shot term loan of significant value.

Bridging loans are short term solutions as they depend on the client having a date in mind where they are able to pay the loan off (usually due to receipt of a lump sum of some kind). Other examples of bridging loans include those wanting their pension lump sums a little earlier than expected or even companies needing short term funding to help finance the admin costs of an IPO.

Are you purchasing a property at auction? The ability to raise capital very quickly will probably be essential to you. Auctions usually require the buyer to to put up to 10% of the deposit down on the day of purchase and the contract will usually need to be completed within 30 days. Bridging finance can be flexible enough to help you here and we will be able to tell you before you go into the auction exactly how much you can raise. If you’ve already paid your deposit and need access to quick finance then get in touch with us today.

Self Build

 

If you’re wanting to build your own property on a piece of land a self-build mortgage is actually the most appropriate solution. A self-build mortgage will release funds in stages based on your plans as new funds are needed at the various stages of construction.

Buying and Selling Land for Profit?

 

This can be a little more complex or a little simpler depending on the circumstances. We’ve helped people to purchase land privately to later market and sell it on for a profit. We’ve also also helped people purchasing prime agricultural farmland, land purchased for logging and land purchased for property development amongst may others.

When buying land to sell there isn’t any specific advice I can offer as it really depends on the circumstances. Just drop me an email directly with as much detail as possible and we’ll get right back to you with the best options available to you.

 

If you have any questions or you would like some help please don’t hesitate to get in contact with me. We can help with any type of property finance, both shorter term and longer term. We can process bridging loans for you within 48 hours.

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About the Author:

Alan has been a financial adviser for a number of years now specialising in mortgages and bridging. Alan is the managing director of Hampshire based mortgage broker "Mortgage Integrity". Before financial advising, Alan spent a number of years doing property development and his first introduction to bridging finance was a loan he was taking out in order to develop a property! The many years Alan spent in property development and the many times he personally required bridging finance gives him a unique perspective and understanding from both sides. Alan's contacts in the property development industry gives him insider access to hot, off-market property deals so drop him an email if you would like some info.

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