Posted on February 26th, 2026.

If you are looking at buy-to-let in 2026, two things matter more than anything else at the start:

• How much deposit you will need
• How lenders assess affordability (which is usually based on rental income, not just your salary)

This guide breaks it down in plain English.

1) How much deposit do you need for a buy-to-let mortgage?

In the UK, buy-to-let deposits are typically higher than residential mortgages.

Many lenders often look for at least 25% deposit (75% loan-to-value), and some may require more depending on the property and your circumstances.

Why a bigger deposit can help:

• It can improve the choice of deals available
• It may reduce the overall risk in the lender’s eyes
• It can help your rental income stack up against lender checks

2) How buy-to-let affordability usually works

With buy-to-let, lenders commonly focus on rental income coverage.

A common approach is that the expected rent needs to cover the mortgage payment by a set percentage. The exact percentage and calculation vary by lender and scenario.

Example (simple illustration):

• If a lender’s calculation shows an interest-only payment of £800/month
• They may want to see rent around £1,000/month+ depending on their coverage rules

3) Do lenders look at your personal income too?

Sometimes, yes - especially if:

• The rental income is close to the lender’s minimum coverage
• It is a more complex case (for example, HMO or portfolio landlord)
• You are applying as a first-time landlord

4) Costs people forget to budget for

Even if the mortgage is affordable on paper, real-world costs matter. Common ones include:

• Letting agent fees (if using an agent)
• Maintenance and repairs
• Landlord/buildings insurance
• Service charges and ground rent (leasehold)
• Void periods (no tenant for a month or two)
• Compliance costs (depending on property type and licensing)

5) Buy-to-let vs Consumer Buy-to-Let (CBTL)

Not all buy-to-let is the same.

If you are renting out a property you did not buy as a business investment (for example, you used to live there, inherited it, or became a landlord by circumstance), you might fall under Consumer Buy-to-Let.

CBTL is regulated and treated differently from standard landlord buy-to-let.

If you are unsure, it is worth checking early - it can affect what advice and products apply.

6) Quick starter checklist before you view properties

• Confirm your deposit amount (and keep a buffer for fees)
• Get a rough rent estimate from an agent or local evidence
• Decide your plan (interest-only vs repayment)
• Keep documents ready (ID, bank statements, proof of income, deposit evidence)

FAQs

1. What deposit do I need for a buy-to-let mortgage in the UK?
   Many buy-to-let mortgages typically start around 25% deposit, but it varies by lender, property type, and your circumstances.
2. Is buy-to-let affordability based on my salary or the rent?
   Buy-to-let affordability is commonly assessed using rental income. Some lenders may also consider personal income depending on the case.
3. How do lenders stress test buy-to-let mortgages?
   Lenders often check whether the rent would still cover the mortgage payment if rates were higher. The exact method varies by lender and product.
4. Can I get a buy-to-let mortgage as a first-time landlord?
   Often yes, but lender criteria can be stricter. A quick pre-check helps avoid applying to the wrong lender.
5. Can I do buy-to-let if I am self-employed?
   Yes, but lenders usually require specific evidence of income (for example accounts or HMRC documents). Requirements vary.
6. What is Consumer Buy-to-Let (CBTL) and does it apply to me?
   CBTL can apply when you rent out a property by circumstance (for example, a former home or inheritance) rather than as a business landlord. It is treated differently, so clarify early.
7. What extra costs should I budget for as a landlord?
   Common costs include letting/management fees, insurance, maintenance, service charges (if leasehold), and void periods with no tenant.

Free 15-minute eligibility check (Coventry)

If you would like a quick, no-pressure sense-check of your options, we can help.

• Book Your Free 15-Minute Eligibility Check
• Call Us
• WhatsApp Us

Compliance note

• Your property may be repossessed if you do not keep up repayments on your mortgage.
• The FCA does not regulate some forms of Buy To Let services.

Disclaimer: This article provides general information only and does not constitute financial advice. Every mortgage application is unique, and we recommend speaking with a qualified mortgage adviser for personalised guidance. Your home may be repossessed if you do not keep up repayments on your mortgage.