- Loan amount: £150,000 – £10,000,000
- LTV: 75%
- Interest rates: tracker & fixed rates available
- Charge type: 1st charge
- Term: 3-year term
- Completion time: from 10 days
- Location of property: England or Wales
Capital Raising Mortgage
Capital Raising Buy-To-Let Mortgage
Capital raising mortgage made simple
A capital raising mortgage allows homeowners to raise capital, or release equity from their home. The capital generated can then be used for any endeavours the owner wants to follow, such as using as a deposit for another investment property, making improvements to their properties (e.g., improving the energy performance to future-proof and increase rents), or covering other debts or business expenditure.
A capital raising mortgage comes in the form of a remortgage and at MFS, we can provide a capital raising buy-to-let mortgage for landlords. We have a range of tools at our disposal that will allow you to take your buy-to-let plans to the next level.
How much can you borrow?
Use our online calculator to find out you max. loan amount, how much you need to repay, and which product is suitable for you. Play around with different scenarios according to your circumstances and find out how we can help you.
Speak to one of our underwiters or BDMs on the phone, via chat or email about your case, however complex it might be. We will try our best to say yes to you, instead of finding a reason to say no.
Chat to our Buy-To-Let Team:
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Capital Raising Mortgage for Buy-to-Let Landlords
All you need to know:
What is a capital raising mortgage and what does it involve?
Remortgaging involves moving your existing mortgage for your property from one lender to another. The new mortgage will replace your old one. If you move from your existing mortgage to a new one with the same lender, this is usually referred to as a “product transfer”. Some people may refer to a product transfer as a remortgage, but technically a remortgage involves a separate lender.
Why do people remortgage?
There are many reasons as to why you may want to remortgage. Although, there are a few key examples that tend to drive remortgages. You may want to remortgage if you’re coming to the end of your existing mortgage rate. Mortgage rates are typically offered for set periods – 2 years, 5 years etc. As these periods end, homeowners may want to look elsewhere for better options.
Homeowners may also want to remortgage if they’re planning to borrow more money against their property. A capital raising mortgage can be used for this kind of plan.
Do you have any limitations on your capital raising buy-to-let mortgages?
Our buy-to-let mortgages can facilitate capital raising, so long as 40% or less of the capital will be used for personal reasons such as personal debts or improvements on your main residence.
How do capital raising mortgages work in practice?
Across the applications we deal with, few deals will look exactly the same, and every case is assessed on its individual merit. But, there may be some commonalities in how capital raising buy-to-let mortgages are utilised.
For example, say you own a buy-to-let property worth £200,000, with an existing mortgage of £50,000. You may plan to build an extension onto the property, which requires capital of £100,000. In this capital raising mortgage example, the total borrowing would amount to £150,000 on a £200,000 property – a 75% LTV. Subject to other requirements, we may be able to work with this.
Will it take a long time to organise a capital raising buy-to-let mortgage?
How quickly we move will largely depend on your specific circumstances and how long the legal processes take. But, we pride ourselves on our ability to bring bridging like speed and flexibility to the mortgage market. We can issue funding within a week of an initial enquiry where everything lines up well. But even in more complex cases, you can have capital in mere weeks.
Can I incorporate a remortgaging strategy with your bridging products?
Yes, it is possible to move onto our buy-to-let mortgages from any one of our bridging loans. In fact, doing so could present a valid exit strategy for property investors and landlords.