Buy-to-Let Mortgage

Our Buy-To-Let mortgage solution is aimed at the Gibraltar residential rental market and primarily at investors with previous experience in the property market and looking to expand their property portfolio. On a case-by-case basis we may also consider applications from first time investors (subject to status and to our credit policies).

This type of mortgage is only available on residential property, the main purpose of which is to rent for long term investment purposes (and not to support short term speculation).

Depending on your circumstances the Buy-To-Let mortgage is available on the basis of a maximum Loan-to-Value (LTV) of up to *75% and over a maximum term of 20 years.

On a case-by-case basis we can consider applications for interest only mortgage loans from professional property investors for up to 5 years and for amounts up to 60% of loan to value.

Rates and charges

The interest rate payable is variable and calculated at an agreed spread above Bank of England Base Rate. The cost of your loan repayments will fluctuate in line with changes in the Base Rate. It is important to factor in affordability of repayments if the Base Rate changes.

An arrangement fee of 1% of the value of the mortgage is payable upon drawdown of your Buy-to-Let mortgage and other than an administration fee of £500 charged for any unscheduled full or partial repayment of the loan, there is no penalty for early repayment. (note that unscheduled partial repayments may be subject to a minimum amount).

In addition to the above costs, you will also be responsible for the Bank's legal costs which will depend on the mortgage amount and the valuation fee (dependent upon the property value). A written estimate of the Bank's legal and valuation fees will be made available to you upon request and when your loan application is agreed.

Other costs to consider

Please bear in mind that you will have your own legal costs and expenses (e.g. taxes) to meet in respect of your purchase of the property.

Suitable property insurance will be a condition of the mortgage. This is not arranged by the Bank and is your sole responsibility.

Source: trustednovusbank.gi, link here.