What Is an Investment Property?
Before we get into the nitty-gritty, it’s important to address exactly what we mean by an investment property.
An investment property is real estate that has been purchased with the intent of generating money. This means buying rental property like commercial, student or residential real estate, and renting to tenants to generate rental income.
In other words, buying investment property means you’re a real estate investor.
Can I Live in My Own Investment Property?
In short: no, you cannot live in an investment property if you’ve purchased your property investment with a buy to let mortgage.
This is because living in an investment property will be in breach of your mortgage terms, which has been specifically designed for property investors to let to tenants.
The Financial Conduct Authority differentiates normal mortgages and BTL mortgages differently, which means that mortgage lenders will specify that your investment property should only be let to tenants.
Naturally, without tenants in your home, you won’t be generating the rental income needed to cover mortgage payments.
Without this expected rental income, you’ll likely be unable to cover the investment property loan, which will be a cause for concern for your investment property mortgage provider.
However, if you didn’t use a buy to let mortgage to purchase your rental property, then you’re free to live in the property for as long as you want.