Loan To Rent Ratio

  • The ratio of rent to mortgage-loan required to pay the loan expressed as a per cent.
  • Too low rent and you cannot afford the mortgage.
  • Likewise too high interest and you may struggle to pay the mortgage interest.
  • This percentage fluctuates with Bank of England interest rates or LIBOR rates as set by lenders.

What are your thoughts?

Your email address will not be published. Required fields are marked *