A Buy-to-Let mortgage is specifically for purchasing a property that you plan to rent out, not live in. It’s different from a standard residential mortgage. The key thing to know is that lenders will primarily look at the potential rental income from the property to decide how much they’ll lend you, rather than just your personal income.
Top Slicing enables customers who have a shortfall in their required lending to use a proportion of their earned income when the rental income for the BTL property is not sufficient to meet the lender’s standard rental cover ratio (RCR) calculation. Not all lenders allow top-slicing, and you may need a minimum annual income greater than £25,000.