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Looking to find out if I can buy a 2nd flat (a project, needs doing up) while hanging on to my existing one which I'd later sell - without the "bend over Sir" interest rates of bridging. Situation slightly complex due to income from lodgers etc but hopefully no issue to any expert!
If you can I'll email you for obvs reasons.
TIA
yup, get a buy to let mortgage, you'll likely have to stump up 25% of the purchase price though and the rates will be higher than a res mortgage.
Your first problem is you'll pay 3% extra stamp duty due to new "BTL" rules, you should check this though as I am not sure if it applies if the property is below the Stamp Duty threshold. From memory you have 18 months to fix up the second place and move in to it then you can reclaim the 3%
Next you are correct that lenders will be concerned about extra risk and will thus want to charge a higher rate. Probably best way is to contact a broker or two and go through it with them, you can do this without alerting your current lender who may have a concern if they think you have lodgers / tenets. All quite tricky but can be managed. Also you need tp pay attention to capital gains tax as buy / doing up / selling the flat will be liable if you never live in it. If you stay in current place and then sell it to move in to the new place you are in a better place tax wise.