How many mortgages can I have?
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Can one person have more than one mortgage?
Richard
1 year ago
Expert Financial Adviser Answer
Dr David Carter FPFS
answered 1 year ago
Yes.
You can have as many buy to let mortgages as you want, as long as you have sufficient deposit for each, and as long as you meet lenders' other requirements.
You can also have more than one residential mortgage. Assuming you have one residential mortgage, you can obtain a second one as long as the new lender's 'affordability' calculation can be met. In other words, as long as you have enough income to pay your existing mortgage, any other loans and credit cards (and so on...) then a second residential mortgage may be available for you.
However, the lender is likely to ask some pretty probing questions. The last thing they will want is for anyone to obtain a residential loan for a property they intend letting out (it would also be seen as fraudulent to do so). Some people do try this, because residential mortgages are cheaper than buy to let mortgages - so don't go down that route.
Acceptable reasons might be that there is an unavoidable ownership overlap between two properties, and you will be selling your existing house reasonably soon, or you need a second property for midweek living because you are too far away from where you work for daily commuting.
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You can have as many buy to let mortgages as you want, as long as you have sufficient deposit for each, and as long as you meet lenders' other requirements.
You can also have more than one residential mortgage. Assuming you have one residential mortgage, you can obtain a second one as long as the new lender's 'affordability' calculation can be met. In other words, as long as you have enough income to pay your existing mortgage, any other loans and credit cards (and so on...) then a second residential mortgage may be available for you.
However, the lender is likely to ask some pretty probing questions. The last thing they will want is for anyone to obtain a residential loan for a property they intend letting out (it would also be seen as fraudulent to do so). Some people do try this, because residential mortgages are cheaper than buy to let mortgages - so don't go down that route.
Acceptable reasons might be that there is an unavoidable ownership overlap between two properties, and you will be selling your existing house reasonably soon, or you need a second property for midweek living because you are too far away from where you work for daily commuting.
Expert Financial Adviser Answer
John Stirling
answered 1 year ago
There is no theoretical limit, but there are hard practical limits around your ability to service the debt, and put down sufficient deposits.
Dr Carter (as usual) gives excellent advice, which I'll generalise as 'don't lie to lenders' - the worst that will happen if you tell the truth is that they will refuse to lend you any money. If you lie (or omit something which is material, and which they could reasonably ask) you could be treated as having committed mortgage fraud, and then you'd have to become a senior member of the previous labour Government.
Uh, no, sorry, I meant to say face charges for fraud, which could carry a custodial sentence, UNLESS you are a senior member of the previous labour Government.
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Dr Carter (as usual) gives excellent advice, which I'll generalise as 'don't lie to lenders' - the worst that will happen if you tell the truth is that they will refuse to lend you any money. If you lie (or omit something which is material, and which they could reasonably ask) you could be treated as having committed mortgage fraud, and then you'd have to become a senior member of the previous labour Government.
Uh, no, sorry, I meant to say face charges for fraud, which could carry a custodial sentence, UNLESS you are a senior member of the previous labour Government.
