Unfortunately, this deal is no longer available
Post Office buy to let Mortgages: 1.96% 5 year fixed deal BTL £495 fees, £500 cashback, 60% LTV
566° Expired

Post Office buy to let Mortgages: 1.96% 5 year fixed deal BTL £495 fees, £500 cashback, 60% LTV

90
Posted 14th Mar

This deal is expired. Here are some options that might interest you:

This will work out better for most than the TSB deal posted. After cashback the difference is £200 in fees, and the lower rate will save that for nearly every mortgage size over the 5 year period.
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People need to think what's going to happen to house prices if you are going to buy one.

If you are switching your mortgage provider then by all means switch to a better deal.
londonguy14/03/2020 20:30

what after CGT and no mortgage interest relief anymore. last of the mugs …what after CGT and no mortgage interest relief anymore. last of the mugs to join the game after it finished back in 2016 after george osbournes changes.


as Donny says you just need to understand the right leveraged business model. Cgt is if you sell, an investor won't sell so they will pay income tax or corporation tax.

Don't get me wrong it is no where near as profitable as it used to be and you obviously can't do it with a few grand. But if you have a substantial amount in savings like £25k plus for a deposit then I think you can be making 5% on your cash and that is ignoring long term capital growth. Some of the really savvy investors (not me) will make far in excess of that.

And before someone says who has that money, well many people do otherwise there wouldn't be a rental market.
90 Comments
People need to think what's going to happen to house prices if you are going to buy one.

If you are switching your mortgage provider then by all means switch to a better deal.
CHEEPSTUFFRULES!14/03/2020 13:08

Comment deleted


The people this will benefit the most is the rich - they’ll be buying up these properties to rent out. Maybe in ltd company name so they can’t take advantage of this deal
donny126614/03/2020 13:09

The people this will benefit the most is the rich - they’ll be buying up t …The people this will benefit the most is the rich - they’ll be buying up these properties to rent out. Maybe in ltd company name so they can’t take advantage of this deal


Think you’ve missed the topical “joke”.

“There could be a large amount of bungalows on the market in 6 months.“
Edited by: "HotOrNotYouDecide" 14th Mar
LOL Btl is over
Cheers, I've been meaning to look for a switch deal.
londonguy14/03/2020 15:19

LOL Btl is over


Hardly. You make more from property than savings even after stamp duty and interest deduction changes.
Lol 1.95% fixed mortgage when the bank is funding it at 0.5%. P*** off.
matthew8014/03/2020 16:48

Hardly. You make more from property than savings even after stamp duty and …Hardly. You make more from property than savings even after stamp duty and interest deduction changes.


And capital gains tax and income tax........
jrw14/03/2020 19:37

And capital gains tax and income tax........


Capital gains is only on disposal of the asset, and if it’s a big enough sum to get taxed on (after some smart accounting) you’re doing better than savings accounts right now. Income tax is a good point - but plan is to have on repayment until retirement when I’ll hopefully be a basic rate tax payer again and the full income is another pension.
donny126614/03/2020 19:40

Capital gains is only on disposal of the asset, and if it’s a big enough s …Capital gains is only on disposal of the asset, and if it’s a big enough sum to get taxed on (after some smart accounting) you’re doing better than savings accounts right now. Income tax is a good point - but plan is to have on repayment until retirement when I’ll hopefully be a basic rate tax payer again and the full income is another pension.


You still pay tax on the whole rental income. You can't deduct the mortgage payments from your taxable rental income. You can only deduct the valid expenses such as repairs, labour, mileage for visiting your properties and agents fees.

I was a forced landlord a few years back and I believe that the tax implications are now even worse than they used to be.
As a mortgage advisor I can say there are better deals out there.
dirtdigby14/03/2020 20:13

As a mortgage advisor I can say there are better deals out there.


Couple of Bm sols/TMW deals will be better but they’re broker only. Not sure about virgin. Post office are awesome tho as no income proof needed!
matthew8014/03/2020 16:48

Hardly. You make more from property than savings even after stamp duty and …Hardly. You make more from property than savings even after stamp duty and interest deduction changes.


what after CGT and no mortgage interest relief anymore. last of the mugs to join the game after it finished back in 2016 after george osbournes changes.
Edited by: "londonguy" 14th Mar
londonguy14/03/2020 20:30

what after CGT and no mortgage interest relief anymore. last of the mugs …what after CGT and no mortgage interest relief anymore. last of the mugs to join the game after it finished back in 2016 after george osbournes changes.


as Donny says you just need to understand the right leveraged business model. Cgt is if you sell, an investor won't sell so they will pay income tax or corporation tax.

Don't get me wrong it is no where near as profitable as it used to be and you obviously can't do it with a few grand. But if you have a substantial amount in savings like £25k plus for a deposit then I think you can be making 5% on your cash and that is ignoring long term capital growth. Some of the really savvy investors (not me) will make far in excess of that.

And before someone says who has that money, well many people do otherwise there wouldn't be a rental market.
Michaelgell9115/03/2020 00:58

0.25 no?


Yup, the BoE base rate is 0.25% (a week or so ago it was 0.75%). Depending on the conditions they could/probably would increase it again within the 5 years. Also, banks need to make money too so they'll charge what they feel is competitive
Good read, interesting thread. Do we think house prices could tumble based on what is happening right now?
Buy-to-let but to whom?

The population of the UK is 65 million. Losing say 3% to CV is almost 2 million souls. Add say another 2 million lost to 'hostile environment'. Then there will be a lot of families who might ordinarily be renters but inherit a house. Oh and house prices will tank. Suddenly buy-to-let looks seriously unviable.
Joe90_guy15/03/2020 04:44

Buy-to-let but to whom?The population of the UK is 65 million. Losing say …Buy-to-let but to whom?The population of the UK is 65 million. Losing say 3% to CV is almost 2 million souls. Add say another 2 million lost to 'hostile environment'. Then there will be a lot of families who might ordinarily be renters but inherit a house. Oh and house prices will tank. Suddenly buy-to-let looks seriously unviable.


You’re expecting us to lose 2 million souls to CV in the UK??

If it’s more than 5,000 I’d be shocked
Cyberry15/03/2020 07:22

You’re expecting us to lose 2 million souls to CV in the UK??If it’s more t …You’re expecting us to lose 2 million souls to CV in the UK??If it’s more than 5,000 I’d be shocked


I think you're downplaying Covid-19 because of our lucky escape from ebola. Were not containing it like SK, infact were doing next to nothing.
Edited by: "ExplodingMule" 15th Mar
Joe90_guy15/03/2020 04:44

Buy-to-let but to whom?The population of the UK is 65 million. Losing say …Buy-to-let but to whom?The population of the UK is 65 million. Losing say 3% to CV is almost 2 million souls. Add say another 2 million lost to 'hostile environment'. Then there will be a lot of families who might ordinarily be renters but inherit a house. Oh and house prices will tank. Suddenly buy-to-let looks seriously unviable.


If we lose that many people, living in the U.K. will be unviable. There will be economic collapse, as most people will lose their jobs. A lot of U.K. companies will be wiped out. Fortunately it’s exceptionally unlikely, but if it does happen Post Office won’t be taking your mortgage payments as they’ll be gone. So free money from the leverage.
Edited by: "donny1266" 15th Mar
Gov aim is to have 60% of population to have had CV. The view is that herd immunity will mean no prolonged shutdowns for future outbreaks.
5% infected need intensive care treatment.
Mortality rate is 1% there is intensive care capacity. Nearer 7% if not.
65m * 60% = 39m to be infected
39m * 5% = 1.95m will need intensive care
UK has 4000 intensive care unit (ICU) capacity.
So expected death rate anywhere from 400,000 if ICU isn’t overwhelmed to closer to 2.5m if it is. Not overwhelming ICU means limiting infected to around 80,000 at a time in the general population (5% ICU treatment, 4000 beds).
Gov is working to increase ICU capacity and slow infection rate.
At current estimated infections (10k) and a 30% growth rate, the UK has 80k infected in 6 days.
Let's get back to the deal that has been posted people !! Hot or cold.....better deals available ?
matthew8015/03/2020 00:15

as Donny says you just need to understand the right … as Donny says you just need to understand the right leveraged business model. Cgt is if you sell, an investor won't sell so they will pay income tax or corporation tax. Don't get me wrong it is no where near as profitable as it used to be and you obviously can't do it with a few grand. But if you have a substantial amount in savings like £25k plus for a deposit then I think you can be making 5% on your cash and that is ignoring long term capital growth. Some of the really savvy investors (not me) will make far in excess of that. And before someone says who has that money, well many people do otherwise there wouldn't be a rental market.


How much of that £25k deposit money will be eaten up by the extra 3% stamp duty payable on a second property?

I looked at BTL a couple of years back, and by the time i'd thought about stamp duty, income tax, maintenance costs, risk of bad tenants (damage and late/non payment of rent) agents fees, insurance, risk of future interest rate rises, mortgage fees I decided it just wasn't worth the hassle.

If my money is going to be tied up, better to be invested in a pension or stocks and shares ISA. Far more tax efficient. Just my opinion.
donny126614/03/2020 20:14

Couple of Bm sols/TMW deals will be better but they’re broker only. Not s …Couple of Bm sols/TMW deals will be better but they’re broker only. Not sure about virgin. Post office are awesome tho as no income proof needed!


Omg I didn't know we had so many financial savvy people one here...
Well I guess it is Hot UK Deal. Saving money is a requirement
Good deal for a simple product from a easy to deal with lender. Effective fee free. 2.41 used to be best so this is Good based on recently available products.
JPS15/03/2020 03:34

Good read, interesting thread. Do we think house prices could tumble based …Good read, interesting thread. Do we think house prices could tumble based on what is happening right now?


Not in London
dirtdigby14/03/2020 20:13

As a mortgage advisor I can say there are better deals out there.


What's the most LTV you can get?
I'm assuming the person with 25k is someone living up norf?
Am I better going to a broker for this like London and Country?
Thank you for any advice
bkpatel15/03/2020 09:06

What's the most LTV you can get?I'm assuming the person with 25k is …What's the most LTV you can get?I'm assuming the person with 25k is someone living up norf?Am I better going to a broker for this like London and Country? Thank you for any advice


There are some broker only lenders like London and country can use. Tbf if you tell them exactly what you want and have all the documents up front, it’s an easy service.
I'm finding this table both scary & enlightening...

worldometers.info/cor…us/

Right now, the rate of growth in CV cases is exponential in a lot of counties. Applying a bit of basic maths, you see linear growth on a logarithmic scale. From the log scale, you can deduce that new cases are increasing by a factor of 10, roughly every 10 days. This seems to be the case everywhere (except China).

The UK, as of yesterday, had 1,140 cases. By extrapolation, I might expect this to rise to 10,000 cases by March 24th, 100,000 cases by April 3rd & 1 million cases by April 13th. Obviously this can't go on forever because you run out of people to infect. These numbers will utterly overwhelm the NHS that our glorious government has spent the last decade depleting, demoralising & dismantling.

The exception to this rule is China where cases (if you believe their numbers) topped out at 81,000 cases. However this was achieved only with the most drastic of lock-down measures including welding apartment block doors shut.

I stand by my first comment about buy-to-let but to whom?
Edited by: "Joe90_guy" 15th Mar
Joe90_guy15/03/2020 09:08

I'm finding this table both scary & …I'm finding this table both scary & enlightening...https://www.worldometers.info/coronavirus/#countriesRight now, the rate of growth in CV cases is exponential in a lot of counties. Applying a bit of basic maths, you see linear growth on a logarithmic scale. From the log scale, you can deduce that new cases are increasing by a factor of 10, roughly every 10 days. This seems to be the case everywhere (except China).The UK, as of yesterday, had 1,140 cases. By extrapolation, I might expect this to rise to 10,000 cases by March 24th, 100,000 cases by April 3rd & 1 million cases by April 13th. Obviously this can't go on forever because you run out of people to infect. These numbers will utterly overwhelm the NHS, our glorious government has spent the last decade depleting, demoralising & dismantling.The exception to this rule is China where cases (if you believe their numbers) topped out at 81,000 cases. However this was achieved only with the most drastic of lock-down measures including welding apartment block doors shut.I stand by my first comment about buy-to-let but to whom?


By the same logic, every deal on here is overpriced because when all those people die, less demand, price will go down.

If everyone believed that logic your employer would go bust and you’d lose your job.
donny126615/03/2020 09:16

By the same logic, every deal on here is overpriced because when all those …By the same logic, every deal on here is overpriced because when all those people die, less demand, price will go down. If everyone believed that logic your employer would go bust and you’d lose your job.


I think you, like many people in today's crazy, upside down world are confusing logic & belief. The two things are totally independent. Logic really doesn't care what you believe & however much you 'believe' something to the contrary, it won't change the trajectory of logic one tiny iota.

I remember in the post-analysis of 9/11, the US concluded that despite much of the evidence being available beforehand, there had been 'a failure of imagination' in predicting the impending disaster. I think that's where we're at right now. As someone in the vulnerable demographic, it gives me no joy whatsoever to say this.
Edited by: "Joe90_guy" 15th Mar
Joe90_guy15/03/2020 09:32

I think you, like many people in today's crazy, upside down world are …I think you, like many people in today's crazy, upside down world are confusing logic & belief. The two things are totally independent. Logic really doesn't care what you believe & however much you 'believe' something to the contrary, it won't change the trajectory of logic one tiny iota.I remember in the post-analysis of 9/11, the US concluded that despite much of the evidence being available beforehand, there had been 'a failure of imagination' in predicting the impending disaster. I think that's where we're at right now. As someone in the vulnerable democratic, it gives me no joy whatsoever to say this.


You’ve latched on to a deal about buy to let mortgages to try and get your voice heard that you think something bad is going to happen. It’s simply illogical to suggest buy to let mortgages will be pointless in a years time. The weakest in society will die, due to Boris’ strategy, I agree. I wish I could petition to get things changed at the top but I can’t. I am simply posting a deal that is one of the cheapest available to your average landlord who doesn’t use a broker. If you have a petition to sign to get Boris out of power for his response to a pandemic, send me the link and I’ll sign.

Sorry to hear you’re in a vulnerable category, let me know if there’s anything that can help make it easier for you.
CHEEPSTUFFRULES!14/03/2020 13:08

Comment deleted


Top banter pal. You should do stand up. Hope all your old relatives don't get affected
I've actually taken out a BTL mortgage with the Post Office.At a rate of 2.35%.
The property is still going through conveyancing and will probably complete in about 1 month.
Do you think it would be an idea to ask if the Post Office can honor this lower rate?
matthew8015/03/2020 00:15

as Donny says you just need to understand the right … as Donny says you just need to understand the right leveraged business model. Cgt is if you sell, an investor won't sell so they will pay income tax or corporation tax. Don't get me wrong it is no where near as profitable as it used to be and you obviously can't do it with a few grand. But if you have a substantial amount in savings like £25k plus for a deposit then I think you can be making 5% on your cash and that is ignoring long term capital growth. Some of the really savvy investors (not me) will make far in excess of that. And before someone says who has that money, well many people do otherwise there wouldn't be a rental market.


There is going to be no long term capital growth buddy LOL housing market built on bubble on top of bubble.

historic interest rates are 4-5% you have emergency rates now, i have substantially more than 25k and i would not touch btl with your 100m bargepole. for financial and moral reasons
Edited by: "londonguy" 15th Mar
donny126615/03/2020 09:07

There are some broker only lenders like London and country can use. Tbf if …There are some broker only lenders like London and country can use. Tbf if you tell them exactly what you want and have all the documents up front, it’s an easy service.


Excellent. Thanks again.
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