Large HMO Mortgages are needed for investors/developers that are looking to purchase a property that will have 5 or more unrelated families or tenants sharing living accommodation such as kitchen, living rooms and bathrooms if the property will only be for one family to rent then you will need a buy to let mortgage. When HMO properties have a value of over 1 million they are generally classed as large HMO mortgages and many HMO lenders this is above the maximum they will lend on this kind of financial product.
Large HMO Mortgage Lenders
There are specialist lenders that are willing to lend large sums for HMO properties if their criteria are met. To ensure you are speaking with the right lenders it is a good idea to speak with a mortgage broker that specialises in this areas with knowledge of lenders that are willing to lend. Most lenders that are willing to lend on large multi-tenant properties will want to see previous letting experience as this type of investment property is not ideal for a first time landlord.
Large HMO Mortgage rates
Similar to smaller HMO mortgages rates will vary from lender to lender as they all use different criteria to assess affordability and risk. If you are experienced and have a good level of assets or deposit this will help to get you the best rate. If you have bad credit or little experience this will raise the risk level to the lender and they are likely to offer a higher APR or even decline your application this is why it is best to speak with an expert who will guide you through the process and will have a working knowledge of the lenders that are more likely to consider your application.
HMO Mortgage limits
Each lender is different and will have a different loan amount that they will not go above no matter how affordable it is for you. Specialist lenders and lenders that offer large HMO mortgages are able to end larger amounts and there is no strict limit as long as you meet the affordability criteria and have a good application and experience.
Get expert advice
At Get Me My Mortgage our expert network of mortgage brokers have years of experience in helping clients to secure large mortgages. Get in touch today by giving us a call or filling in one of our enquiry forms to speak with an expert.