Joe
Posts:5
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| 29 Sep 2006 05:34:51 |
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| I've read that landlords can now get offset mortgages, does anyone have any idea if they are any good? |
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b1gman
Posts:9
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| 02 Oct 2006 10:54:48 |
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Yes they are a superb idea.
I actually have the offset mortgage on my main residence. (I.e. I have taken out a mortgage on my main residence - even though I paid my mortgage off years ago).
I then used the equity released to buy more investment properties.
I then reclaim the interest charged on this mortgage against my property business, and then I also use the offset facility to reduce the interest charge on a flexible basis.
Becuase I have a good chunk of equity left - I can draw on this from time to time - e.g. recently I bought a property at auction and needed to complete quickly, so I paid cash by using my offset facility to draw down more money.
A few weeks later I remortgaged the auction property and returned the cash to the mortgage account (ready for the next deal).
Abbey.com do a superb offset mortgage. with a low interest rate (I got 0.49% above BOE Base rate for the LIFE OF THE MORTGAGE - so I never need to switch ever again!)
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gilbertcat
Posts:7
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| 04 Nov 2006 11:58:08 |
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| I have a medium sized portfolio and have offset mortgages on 2 proprties with The Mortgage Trust. Any temporary surplus funds I deposit in the account saving 5+% until I need the cash. Very useful. |
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electricmen@ntlworld.com
Posts:12
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| 08 Aug 2007 04:55:52 |
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Joe, read your post with much interest and it begs the following questions:-
i) Did you still have to prove your earnings to raise this type of mortgage?
ii) What are the approx fees?
iii) What does Abbey pay you approx, if you are in credit ie 5% pa?
Cheers for any feedback
Keith Spence
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