Buying A Second Home

[Ric.ror]

I am thinking of buying a second home - I would rent out my current home (3 bedroomed) and buy a smaller one
Would the banks take into account any potential rental income when deciding how much to lend?

TIA

[Ric.ror]

Oh I should add I have next to nothing mortgage on my current house (well £5k is next to nothing in mortgage terms) - the house is worth approx £200K

[coccinelle]

As nobody has replied I would say Yes, but this is from what I know in France. And, if you already have somebody interested it would be a bonus.
Personally, I can buy a property here and get a loan just because I'm letting it out; if this was not the case under my circumstances I wouldn't.

[Ric.ror]

Thank you for your answer

[ladybirder]

Yes I believe they take a 'conservative' amount, or they used to. Not sure since they tightened up a lot.

[Ric.ror]

Thank you Ladybirder

[bushbaby_de]

You can get what's called a Let to Buy mortgage that takes into account the equity, outstanding loan and rental potential of your existing property as well as your income. Its a specialist mortgage so I would suggest you see a broker.

[Ric.ror]

Belated thanks to you Bushbaby