Buy-to-let: how are setup costs dealt with in the mortgage ?

  • Thread starter Schillachie
  • Start date
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Schillachie

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Hi There,

I am investing in a buy-to-let for 190K.
by the time you add in Stamp duty, cost of furnishing and other setup costs, this cost will come to at least 205K.

The bank will give 205k based on the price of our existing home.
How do I set up the mortgage if I cannot claim interest of Stamp duty, cost of furnishing and other setup costs. Can the bank have a separate account for this stuff ?

Also, what type of mortgage is the norm for this. are trackers a good idea or what about Interest-only loans ?

If anyone has any experience or knowledge in this area, I would appreciate your advice.

Thanks, Schillachie
 
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