Consider Buy-to-Let Mortgages
If you’re on low income, you might want to considerbuy-to-let mortgages. What this means is you purchase the property to rent it out to tenants.
Lenders don’t need a minimum annual income if you’re getting a mortgage for this purpose. Instead, they base it on how much rent you plan on collecting from your tenants.
Note that you can’t live in the house while you have an ongoing buy-to-let mortgage on it. However, the property is yours after you’ve paid everything off.
We believe that it could be a good secondary source of income. Plus, you can get one even if you’re on benefits!
Get an Agreement-in-Principle
An agreement-in-principle or AIP is a certificate proving that you’ve talked to a mortgage broker. The AIP indicates they agreed that you’re eligible for a mortgage.
It’s easy to get an AIP. All you need is a 20-minute discussion with a broker. He’ll assess your financial situation and you could get invaluable advice on what you need to do.
Having an AIP will signal to banks that you can keep up with monthly payments. It can help when you’re looking for a mortgage on benefits.