Buy-to-let Mortgage

Name: Buy-to-let mortgage rate comparison | Propp
Brand: Propp
Rating: 5 (2 reviews)

Introduction

Buy-to-let mortgages are built for property investors purchasing or remortgaging rental property.

Lenders focus on rental income, yield, and whether the numbers stack up, not just personal affordability. Get it right and it supports long-term growth.

We compare the market properly and do the heavy lifting, so your investment works harder.

Compare buy-to-let mortgages below.

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What people are saying

Excellent service!

May 26th, 2026

Excellent service, friendly staff, highly recommended. Extremely efficient and nothing too much trouble

Ruth

Outstanding support, and extremely professional...

May 25th, 2026

I just wanted to take the time to personally thank Abbie and Rachael for the outstanding work and support they gave throughout this process. After approaching two lenders who both stated the property needed to be habitable before funds could be released, I honestly felt ready to throw in the towel and pull out of the sale altogether. However, your attitude, persistence, and encouragement to keep going completely changed the situation. The willingness to continue exploring further recommendations and solutions when all hope seemed lost ultimately got the sale through and the house accepted for the mortgage. They truly went above and beyond, and this would never have happened without the hard work, dedication, and effort that was put in. I genuinely cannot thank them enough for everything they did. Their professionalism and determination made all the difference, and I will always be grateful for the support throughout this process.

Aaron

Amazing customer service!

May 15th, 2026

Amazing customer service and engagement throughout, while adding a friendly and solution-oriented perspective. I would definitely recommend!

Anand

What a team thank you so much!

April 28th, 2026

Abi started the process did me proud the team were on the ball and helped me achieve my goal, many thanks.

Bry

Zahid went over and above in every way...

April 23rd, 2026

He was amazing in a situation where things weren’t easy to secure my finance. Would highly recommend recommend Zahid to anyone.

Margaret

Great team...

April 21st, 2026

who persevered to deliver fully for us. Excellent communication throughout. Highly recommended.

Matt

Helpful, professional and well organised

April 20th, 2026

They listened to me helped me get things organised and did most of the work for me let me know what was needed guided me throughout and kept me informed they made it feel easy,the staff were so friendly and well informed I can't thank the team enough they all worked so well together and helped me every step of the way I would 100% recommend them to anyone

Sandra

Great experience with Propp

April 14th, 2026

I had limited time to get my offer in principle and the team worked hard to help me with my purchase. The process since then to having a confirmed offer has been faultless. The people I worked with could not have done more. Abbie, Jordan and Keira - thanks.

Without a doubt Propp delivered in every way.

April 13th, 2026

They were highly professional, transparent, informative, efficient, knowledgeable and incredibly friendly. Having dealt with hundreds of financial advisers, brokers and their teams during my working career, I have to congratulate Propp on delivering, probably the best service, I have ever encountered. A special mention for Kyle and Lauren, your support was truly outstanding and exceptional.

Customer

I am very pleased

April 13th, 2026

I am very pleased with the way Propp dealt with the remortgage and would recommend them.

GWC

Amazing service by this company!!

April 2nd, 2026

All PROPP staff who I dealt with such as Abbie, Sophie, Yve and Jordan and others were professionals in their jobs. I used Propp for remortgaging three of my properties and to get a mortgage for one new purchase. Each one of the above staff updated me regularly and on each step of the process from the beginning to the end. They supported me through the whole process and went above and beyond. Will definitely be using again and again. On all of the four finance cases Abbie was able to secure a great rate, Sophie was chasing up the lender until they issued the offer and Yve was chasing up my solicitors to speed up the process through completion. I really appreciate all their support t

Bahram

Always helpful and quick to respond

March 21st, 2026

Explained everything well.

What is a buy-to-let mortgage?

A buy to let mortgage is a mortgage for those who would like to buy property as an investment. Buy-to-let mortgages work differently to residential mortgages, so if you are choosing to rent out your property lenders would require you to finance your purchase with a buy-to-let mortgage. You can also get commercial buy-to-let mortgages for landlords who want to invest in business property.

When you compare buy-to-let mortgages with Propp.io we do the challenging work for you. We will compare mortgage deals and buy-to-let lenders from across the market so you can find the best buy-to-let mortgage that suits you.

What is the difference between a buy-to-let mortgage and a residential mortgage?

A buy to let mortgage is mostly for landlords who want to buy property and rent it out. This means that the rules are slightly different for buy-to-let mortgages in comparison to residential mortgages. Let’s look at some of the differences, here:

The minimum deposit for a buy-to-let mortgage is usually 25% of the property's value, however this can vary between 20-40%.
Most buy to let mortgages are interest-only. This means you pay the interest each month, but not the capital amount. At the end of the mortgage term, you repay the original loan in full. You could do this by selling the property, or you could keep the property and take out another mortgage. However, some buy-to-let mortgages are also available on a repayment basis. This will mean higher monthly payments, but you’d build equity and own the property outright by the end of the term.
Buy-to-let mortgage rates are generally higher. This is because buy-to-let lenders tend to view tenants as higher risk than owner-occupiers.
What you can borrow is based less on what you earn, and more on the rent you charge tenants.

How much loan to value do I need for a buy-to-let?

A bigger deposit means a better mortgage deal!

We all know that a good deposit can help you get the best buy-to-let mortgage rates, but did you know that it could also help you get a lower loan-to-value rate?

That's right - if you're looking for a buy-to-let mortgage, chances are it'll have a lower loan-to-value than a residential mortgage. The largest loan-to-value rate on a standard residential mortgage is 95%, but most buy-to-let mortgages have loan-to-value rates of 75% or less (the average is around 65%). That means if you want to get the best deals on buy-to-let mortgages, then you'll need at least 25% of your property value as a deposit, plus extra funds to pay for things like fees and money you might need to spend on getting the property ready to take in tenants.

How much can you borrow for a buy-to-let mortgage?

The amount you can borrow for a buy-to-let mortgage doesn’t always depend on how much you earn. Instead, buy-to-let lenders will look at how much rent you’ll be able to charge. Rental income should normally be 25-30% higher than your monthly mortgage payments.

If you're looking for a buy-to-let mortgage, there are some lenders that won't approve you for one unless you have a certain amount of personal income. This is because the investment property may not be self-funding and would need an income from the tenant(s) in order to pay back the loan. The smallest amount of personal income typically needed is around £25,000

Two people sat in an office smiling whilst looking at a tablet

What type of buy-to-let mortgage do I get?

We know there are a lot of options when it comes to your mortgage, so we want to make sure you're making the right choice.

As with a residential mortgage, you can choose between a fixed rate or tracker rate mortgage.

Fixed rate mortgages are a bit more expensive than tracker rates, but they are also more predictable. They won't change in price over time. If you're worried that the base rate will increase soon and you might not be able to afford the higher monthly payments, it's best to choose a fixed rate mortgage.

Tracker rates work like this: your monthly payment will stay the same, but it could increase if interest rates go up. If you're confident that the base rate will stay low for several years and could afford an increase in mortgage payments, choose a tracker rate mortgage.

Do you pay stamp duty on a buy-to-let mortgage?

Yes. If you're looking to invest in a second home in the UK, you'll need to be prepared to pay a stamp duty surcharge.

If the property is worth more than £40,000 and the purchase will result in you owning more than one property, this is known as the Additional Stamp Duty Rate in England and Northern Ireland, and it's an extra charge of 3% minimum on top of your standard stamp duty bill. There's no stamp duty on properties worth less than £40,000 and there is also an exemption if the buy-to-let property is the first and only property that you will own.

Do buy-to-let mortgages have higher interest rates?

Yes, buy-to-let mortgages are typically about one percentage point more expensive than residential mortgages. This is because but-to-let lenders view tenants as a higher risk than owner-occupiers. Some buy-to-let mortgages also have high arrangement fees – as much as 3.5 per cent of the property value.

What are the benefits of a buy-to-let mortgage?

If you're a landlord, you know that renting out your property can be a great way to make money. But what are the benefits of a buy to let mortgage?

Well, for starters, demand for rental properties is high. Renting is a popular lifestyle choice and a necessity for many people who can’t afford to buy. With a lack of affordable housing and stricter mortgage underwriting criteria people look to rent as an alternative. This means that renting out your property should be relatively easy.

Secondly, property is a relatively safe long-term investment. Although the value of your property can fluctuate, over the long term the value of your property should increase and provide you with a profit when you come to sell it.

Finally, by renting out a property, you can generate an income. Your tenants will pay your mortgage for you, and you should also be left with some extra income each month.

Can you convert a residential mortgage to a buy-to-let mortgage?

When you're ready to get out of the rental market and into a buy-to-let mortgage, you'll need to talk to your current lender about getting permission for this change. If you don't switch over, you risk invalidating your mortgage contract and being asked to repay your whole loan at once.

Once you've got permission from your lender and know what type of fixed buy- to-let rates and fees are available, it can get a bit confusing. That's why it's so important to compare the options that will work best for you.

And remember as a property owner, there are responsibilities that come with the title. Don't forget to upgrade your buildings insurance to landlord's insurance and make sure you understand all your new responsibilities as a property owner!

Do I need to declare my buy to let income?

Yes. The income you receive as rent is taxable. You need to declare any rent you receive as part of your Self-Assessment tax return. The tax on your income is then charged as per your income tax banding.

How many buy-to-let mortgages can I have?

In short, there's no limit to the number of buy-to-let mortgages you can have.

But there are some buy-to-let lenders who will limit the amount of borrowing you do in total.

There are also lenders that will limit the number of buy-to-let mortgages you can have with other lenders. This can vary.

Some lenders don't mind how many buy-to-let mortgages you have with other lenders at all!

And lastly, what is a let-to-buy mortgage?

If you want to rent out a home you already own, and buy another home to live in yourself, then let-to-buy is the one for you.

Let-to-buy is a way to apply for two types of mortgages at the same time:

A buy-to-let re-mortgage for the property you’re moving out of and intend to let out
A residential mortgage for your new home

Comparison websites are a great starting point for anyone trying to find a buy to let mortgage that is tailored to their needs.

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