darren mcneill

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About darren mcneill

  • Rank
    Established member

Profile Information

  • Location
    North West
  • Property investment interests
    Currently BTS to generate enough cash capital, then combination of BTS and BTL (Renovations)
  • My skills
    Remaining positive
  • My goals
    To enjoy my job

Recent Profile Visitors

185 profile views
  1. Hi Neil, Are the solicitors through the developer? I currently pay £540 (inc VAT) for my solicitors fee, and then around £270 (inc VAT) for searches. There may be a few additional ££ added if anything crops up, but your numbers look excessive. I got mine through a family member, but even when I made my own enquiries local they were around £800-£900 abosolute tops. Iwould just pick up the phone and ring a few. I'd try smaller firms as they can be quicker as they don't operate a "stack-em-high" approach. Hope that helps Darren
  2. Thank you for the detailed response - Looking back I should have clarified a few points: 1 - I did not mean a "general" Ltd trading company, I have 1 set up for BTS and one set up for BTL (with the correct SIC codes) 2 - I appreciate that the number of Ltd Co. Mortgage lenders is smaller, but I know that it is starting to increase due to the shift with LL's now. 3 - In reference to the fee's, I was referencing the mortgage costs (although I do appreciate your detailed response). I was mainly looking for information on mortgage setup fee's, admin fee's etc so that I could cost in the price of the mortgage application etc. With the mortgage APR, again, I was looking for a general % over the life of the loan, as I know they are more expensive than personal mortgages and BTL mortgages, but was unsure at what the average APR is for these for general cost forecasting. Big thanks for the details so far. If you want to send me your details for future dealings that would be greatly appreciated.
  3. I know with mortgages there is a lot of "it depends" scenarios, but I just wanted to get a general feel of the requirements that I will have in the near future. I would like to build my knowledge so that I can enter into the BTL part of my business fully understanding where I stand, rather than trying to establish this information when I am due to start financing. My Situation * I will be looking for Ltd Co. BTL mortgages from late 2017/early 2018 as part of my business strategy * The properties in question will have previously been purchased 100% cash, so there will be no finance on them. These will have been purchased, renovated, and will be tenanted when I apply for the BTL mortgages. * I will be looking at 75% LTV. This could be increased if required. * The properties will be in the value range of £60k-100k. As I currently understand it, you can get mortgages at the lower range but costs and fee's are generally higher. There may be properties valued higher than 100k, but this is dependant upon the renovation projects that I find. * I will not be looking to release any equity or sell the properties at any time in the future, as they are part of a 10 year strategy. I will be generating my capital through the BTS side of my business and also through recycling when mortgaging for BTL. * My own income on paper is just £5,720. The other director of the business has an income of £32,000. The issue here is that the other director purchased their residential property using the governments Help to Buy scheme. The rules of this scheme are that the other director cannot purchase another property. The sticking point here (and where I cannot seem to get an answer from advisers or solicitors), is whether the HTB is affected, as the purchase is in the name of the company? * I will be looking for a mortgage adviser that I can work with for years to come, as I aim to purchase 3 BTL properties per year. This number may increase dependant upon capital uplift and opportunities. * The properties can be held off refinancing for a period of time if required. It is not imperative, but of course releasing the money sooner would help with the purchase of other properties and the expansion of my portfolio. General Questions 1/. I will assume that the panel of lenders available will be reduced, but on the whole mortgages should be available? (I see for example Shawbrook offer £50k minimum and no minimum income) 2/. As I will not be looking to release any capital (or sell the properties) for a number of years, would a longer fixed rate be preferable? 3/. Is the 6 month re-financing rule still in place if the property has been purchased fully in cash? 4/. Would it be best to aim for a lender who will accommodate a potential expanding BTL portfolio, maybe a lender who offers a portfolio mortgage facility? What is normally the minimum number of properties required for a portfolio mortgage account? 5/. What would the average APR% be for my current situation. I of course do not expect an exact figure, but a general % for financial planning. On average, what are the general upfront costs/application costs (again for general financial planning). Any tips, advice, or pointers greatly appreciated. Darren
  4. Is there an updated link for this please? Thanks
  5. It went a little further downhill from there! The purchase of the 2nd fell through...... Although.... upon reflection it was a positive (although it did cost me in search fee's). I was overpaying, as it was a rebound property! I have however managed to source multiple direct to vendor purchases now, and I am 2 weeks off completing now. See, everything does happen for a reason!
  6. Opportunities are always created As with everything it is survival of the fittest, so while some people back off, make more of an effort to move forward.
  7. There is a very passionate thread on this on PT, but like most things that involve politics it started to become slightly childish, which is why I have come onto here. I'm not a follower of politics in any way, I live in my own bubble, I don't watch the news, and 95% of the time I am unaware of the horrors that are going on in the world. Some people will likely think negative of this, but unfortunately I cannot change what happens in the world, so I do not feel the need to worry about it. There is a lot of concern from reading on the forums about how the next government will affect LL's, and those in property. You can spend a lot of time worrying, but those who survive are the ones who can adapt, there have been a number of changes, and I am very sceptical that any will be brought in that will make things easier, or save us any money. I constantly read how small LL's are going to be forced out, but if you go about things the right way, I don't understand why. Yes it is getting more difficult, there are more rules now and more hurdles that require jumping through, but there will always be ways of earning income from property, you just need to self educate and learn from others. The industry is simply too vast just for large corporations to run everything. If I sit here any worry in my chair (and a brew), it won't enable me to renovate my next property, or get a tenant for a future one. In my opinion most politicians "high up" seem to be in it for themselves, I doubt there are many that actually care about most of us. If the county was ruled using common sense, then it would be a completely different landscape, but there is very little of that. One minute I read that all of these cuts at the moment are to reduce the national debt, then in the same feed someone posts that the national debt has doubled? It's like the most boring game of Chinese whispers ever. No doubt whatever bunch of silly people next take over the government, the world will go on. To be honest, this post is about as useful as a chocolate fireguard, but it does feel very tiring reading posts from people trying to enforce their own political views on others (in other forums), when probably most people are like myself, and would just appreciate a government that actually tried to be positive. I honestly do not know who to vote for. There feels as though there is so much pressure not to vote X, because this may result in Y, but Z got the most votes, but X resulted in more seats..? I do not know how I am going to vote, but I do know that on the 9th June I will get up, flick on the news to see who's up next, and then go about with my life. Will I be better off? Will I have to work on new ways of achieving my goals? I am not sure, but I will face each hurdle as it is presented to myself, and educate myself to the best of my ability. Now for someone to give a more educated commentary, rather than the babblings of myself
  8. Is your mortgage adviser a Ltd Company expert, or a general consumer mortgage adviser? Personally, I would speak to someone who deals with Ltd Company mortgages day in, day out, as they will advise you the best. I have not heard about the lending minimum on ex Local Authority before in my research. It doesn't make any sense in my mind, but as mentioned an expert in that field will be able to answer your question in a couple of minutes. Keep us updated once you have spoken to someone.
  9. David, Book an appointment with a mortgage broker and explain your plan. They will be able to advise you with regards to the deposit. There may well be some lenders who do not mind, but the broker will be best. Theres always a way round these things!
  10. Hi David, This is something that I have played with on paper, but not quite to the levels of borrowing that you are talking about. One of the main issues you highlighted is the final valuation from the lender, and this is the number that basically holds the key to everything. Your estimate of £80k, where does this stand in relation to the ceiling price for the Road/area? What are recent sales on the road for similar properties? You need the final valuation for your spreadsheet to be a realistic number, and not one you are "hoping" to achieve. What situation are you in if you are valued at £75k, or even £70k? If you can work out the end result on a few different valuation values, then at least you will know your worst case scenario. If the value does come in lower, what is the definitive strategy to repay the financing, and how long would it take? Once you have these answers, then you will be able to make an informed educated decision. Personally I now lower my expected figure. If I achieve above this, then it would be a bonus of extra money. Make sure you do factor in every penny of your costs, so council tax and utilities whilst renovating, advertising etc. There are lots of costs you may not have thought about, but will add up and stretch your budget. Youe mortgage lender will also want to know where your deposit has come from, with a minimum of 3-6 months bank statements showing the money (or where it has come from). From my own research, banks do not like a loan to cover the deposit, do this may be a stumbling block? I would speak to a mortgage broker. One way to get round this could be to get a loan and leave it sat in your savings for 6 months, but then you would have an additional 6 months if repayments to factor in. See what others can put forward, but definitely research. Darren
  11. I looked into bridging when my mortgages failed, and tbh I could not make the numbers stack up for a decent profit. There was still profit in the properties that I was looking at, but I think the bridging costs were between 4k-6k, and that stuck in my throat!! It is probably the tight side of me, but the thought of giving someone that amount of my money for them doing zero work meant that I could not do it. Yes there is a risk by the lender of some degree, but when they have 1st charge on your property, its not as high a risk as what is made out for the return (This is my opinion, I am sure I could be proved wrong). I have just been incredibly fortunate, that someone in my family has seen how determined I am to succeed in this, and the work I have put in already before purchasing, that they have helped part fund me. If you are going to use bridging, cost in every penny and see what your numbers are at the end. It may be worth it if it can get you going? Like I said, i'm just tight! lol
  12. Im in a similar position, but with 20k. I have a post on the journals that you can read. My Jounal I was going to use a personal mortgage to get me started, but as I changed jobs and reduced my income by 80%, so that failed. I have now had to rely on private financing through family. My first project should cost around £45k in total, then I am on my way. This is a full cash purchase however. It seems tough at the start, but if you persevere you will find a solution!
  13. BTS or BTL? I would make the area decision dependant upon the capital that you have to spend. What is your budget?
  14. You could not use the above mortgage deal for a BTL as it is a personal mortgage. For a BTL, have you looked in Wigan near to the new HS2 station (to be built)? There will be a demand increase over the next 10+ years. This is where I am going to have a look soon.
  15. Are you referencing information sources?