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  • Mortgages & Finance

    First time buyer and bad credit

    I was recently told that it is impossible to get a buy to let mortgage if I don't already own a property and would like to know if this is true.

    If this is true, then I am thinking of buying a 3 bedroom house with a residential mortgage and renting out two rooms to lodgers whiles my partner and I stay in the third room for six months. After 6 months I would then remortgage the house to a buy to let mortgage.

    I would  like to know if this is possible and bear in mind, my credit score is not the best as I have 2  defaults that are two years old (which have been paid off)  and my Experian score is fair. My partner on the other hand has an excellent excellent score, is this something that would hinder us from buying?

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    Why would you want to do this anyway?.... You should establish yourself with a residential property before you think about letting anything out be it a room or another property.

    It is against the terms of a residential mortgage to let out rooms so you would be in breach of the mortgage contract.

    Buy what you can afford and build up equity. Contrary to what some people say on here property investing is very long term and not a get rich quick scheme.

    Good luck anyway

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    Waiting a decade - depending on location - for  a chunky amount of property equity may not fit well with OP's age/ambitions - though certainly having own home under belt is best first step.

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    Hello Dom,

    That isn’t necessarily the case. Some lenders, such as Bath Buildimg Society, actually have products specifically targeted for applicants looking to let out a spare room.


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    Hi Kate and welcome.

    I don't really understand why you would do this?  Is it because you don't want to own a residential property, but do want to own a BTL property?  If you have bad credit, then you will struggle to get any kind of financing.

    Sorry, but this approach makes no sense, not to mention that you would find it very hard to change to a BTL mortgage after six months.  Getting a mortgage with the intent to do something different with the property than you told the lender is also a dangerous path to tread, so I would strongly advise you stay away from this idea.

    The fact is that you can get a BTL mortgage without owning your own home and we have a video on this topic:


    I suggest that you speak to the PT Brokers Team on 0333 363 6507 as they will be able to assist you in finding a suitable BTL mortgage.

    ​Hope that helps and good luck!

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    @vanessa Warwick thank you for that information, I will be calling them

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    I thought you were allowed to rent out up to two rooms to lodgers or one under the rent a room scehem. The reason why I want to do this is because I am not someone who stays in one place and travels around quite a lot for work. I also have over £18000 saved and wanted to invest it and property just seems like the wisest investment to me.

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    You can indeed rent out two rooms to lodgers - no problem there.

    As stated, you can get a BTL mortgage without owning your own home.  You have been given the wrong advice and I have directed you to the correct advice - the PT Brokers Team powered by John Charcol.

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    Hi Kate. I have recently started the process of getting a mortgage as a FTB and first time landlord as well as other factors that make my application complicated (I have no need to buy a resi as I live in my girlfriends house). I found one and some things just mean the options are slightly smaller but the broker will know what options are still available for you.

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    Check your current Credit Score on CLEARSCORE.COM

    If there are any discrepancies you can get them clarified before seeking a mortgage

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    You should be able to get a residential mortgage that allows you also to have lodgers. If you travel around a lot for work and don't intend to buy another property it's reasonable to treat your house as your primary residence so you would not need a buy to let mortgage. Nor would you need to pay all the extra tax that goes with a BTL.  Just make sure you return there regularly to pick up the post etc.

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