Discount Investment Property

Different Methods:

Day 1 Remortgage:

A day 1 remotgage is used to buy a property with cash (or bridging finance) and then to instantly remortgage onto a buy to let product. This process allows quick purchasing and means the discount offered by the builder turns to equity for the mortgage purpose. This method is only available to certain lenders and inccurs some bridging costs (typically 1% of the loan amount).

Straight Purchases:

Some choosen lenders will allow builders gifted deposit aslong as the client is seen to be putting their own money in aswel. Although this is not the idea of a true no money in purchase, is does open doors to alot more lenders and can bring better mortgage rates with it. The incentives are fully benefitted from, it simply means the loan to value is reduced by the clients own money.