Yes, you can use the equity in your first home to cover the deposit for a buy-to-let property. This method is often called equity release.
Here’s how it works:
First, work out how much equity you have in your home. This is the difference between your home’s value and any mortgage you still owe.
Next, you can remortgage your home. This means you borrow against the equity to get some cash.
You can use this cash as a deposit to buy your buy-to-let property.
Make sure you can manage the extra borrowing without overstretching your finances. You must show the lender that you can afford the new mortgage payments plus any other debts you have. It’s a good idea to talk to a mortgage advisor to make sure this is the right step for you.