Buy to Let Offset Mortgage

Family Building Society's Buy to Let Offset Mortgage is aimed at people wanting to make better use of their savings whilst keeping their money available for other purposes. It is available for property purchase or remortgage for individuals only. It can be used by borrowers whose family members wish to help them reduce the cost of their mortgage.

By offsetting savings against the mortgage your client will reduce the amount of interest that is charged. Other things being equal this increases their net profit (the tax charged on this higher figure will be more as a result) and the offsetting increases the overall cashflow they receive from letting. This may be important if your client relying on this as part of their retirement income, for example. You can read more about the benefits of our Buy to Let Offset Mortgage for your clients in our leaflet.   

Our Buy to Let Offset Mortgage is available to UK resident individuals and not corporate bodies or partnerships.
There are two options available:

Option 1: Payment Reduction

With this option, the offset savings are used to benefit from lower monthly mortgage payments now, but the mortgage won’t be paid off any sooner. Interest saved each month will be used to reduce the amount of the next month’s mortgage payment, so the greater the savings offset, the lower the monthly payment will be. As customers will be using their savings to benefit from lower monthly payments immediately, their mortgage balance and remaining mortgage term will not reduce any quicker than if they were on a traditional non-offset mortgage.

This option is available to both repayment and interest only mortgages.

Option 2: Term Reduction

With this option, the offset savings help pay the mortgage off earlier. However, offsetting won’t have an impact on the monthly mortgage payments. Instead, the interest saved by offsetting the savings means more of the mortgage is paid back each month. The mortgage balance should reduce faster, and customers may be able to pay their mortgage off early. Plus, unlike a regular savings account, there is no tax to pay on the money held in an offset account. The future tax treatment of offset savings accounts may vary.

Please note, this option is not available for interest only mortgages.

2 Year 2.30% Discounted Rate
Followed by our managed mortgage RATE currently
Overall cost
for  comparison

Want to find out more?

Download the Buy to Let Offset Mortgage leaflet and the product summary for our Buy to Let Offset Mortgage for purchase and for remortgage. The Buy to Let Offset Mortgage is listed on the second page.

If you're ready to submit an application for your client, download our application pack. Please note, your client will also need to submit a cheque for £100 with the application form for the linked Offset Saver account.

If you have a specific case in mind and would like to discuss the options available to your client, please call us on 01372 744155. We can also arrange for your Business Development Manager to contact you.

Alternatively, you can email us at and one of our team will get back to you.

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