Many landlords look to build their property portfolio over time. If the value of an existing property rises, you may be able to borrow more against its value, so helping to finance another purchase. Care needs to be taken to ensure that you do not over-borrow, and it helps too for the portfolio to be diversified so that you can withstand falls in any particular market.
There is also a danger in having all your wealth in property. Property prices can fall as well as rise, as 2008 proved. Invest and manage wisely, however, and buy to let can be an attractive long term investment.Last Updated
Knowledge Bank >
Property and mortgages >
Buy to let
07: Building a buy to let portfolio and investment diversification
Your home may be repossessed if you do not keep up repayments on your mortgage.
There may be a fee for mortgage advice. The precise amount will depend on your circumstances and/or amount of borrowing. We will notify you of any costs before any advice is provided.
