A Selection of Buy To Let Mortgages Criteria

Buy To Let Mortgages Criteria 5

Age

Minimum 18 years primary and secondary applicants. Mortgages can be extended beyond retirement age provided that sufficient income can be demonstrated.

APR

APR quoted is the overall rate illustrated for comparison purposes.

Bank Statements

Any bank statements requested must be both the latest available and must also show the applicants salary and mortgage/rental payments being made. If bank statements do not meet these requirements, additional documentation will be required. Please note that statements printed direct from cash point machines or internet are not acceptable.

Early Repayment Charge (ERC)

Refer to individual Product Details

Gross Annual Income Multipliers

Residential: Sole Application : 4.25 x income. Joint Application : 3.5 x joint income.Buy to Let: See “Rental Income Multiples”

Income - Supporting Documentation Required

Employed : 2 most recent payslips.
Self Employed : 2 most recent years audited/certified accounts or Accountant’s letter/Certificate confirming income for previous 3 years or Previous 3 Years’ end of year Tax assessment statements.

Income

Minimum income for Buy to let is £40,000, Minimum income for Professionals is £60,000

Interest Rate

Refer to individual Product Details

Insurances

Buildings Insurance, Contents Insurance, Mortgage Payment Protection and Life Cover/Critical Illness cover are strongly recommended. All types of cover can be arranged through a provider of customers choice.

Loan Purpose

Mortgages may be granted for the purchase and/or improvement of a property or the take over of a mortgage from another financial institution providing the original mortgage was used for house purchase and/or home improvements. Arrangement fees can be added to the loan over and above the maximum LTV criteria. Professional Valuation fees and Solicitors fees may be included in the advance, provided the Loan amount remains within the maximum LTV criteria.

Loan Size

Minimum Loan : £75,000
Maximum Loan : £2M**
**For loans above this amount by discretion

Location

England, Wales and Scotland only. We do not provide mortgages for properties in Northern Ireland.

LTV

£75,000 - £1,500,000 = 80%
£1,500,001 - £3,500,000 = 75%
£3,500,001+ = 70%
£3,500,001+ = 70%

. Portability

All products are portable, subject to the new mortgage meeting current lending policy requirements.

References Required

All applications will be subject to a Credit Search and Credit Score. Dependant on the risk of the individual case, either full references or telephone calls to the employers/accountants maybe required.

Rental Income Multiples

Serviceability – gross monthly rental income from the property must be at least 125% of the monthly loan repayment. Where the rental income test is not met then loan serviceability will be assessed on the applicant’s other income and appropriate evidence will be required to verify income.

Remortgage Incentive

The Mortgage Lender will arrange and pay for any legal work it requires. The legal service will be provided by London & European Title Insurances Limited. The Bank will also arrange and pay for a Property Risk Assessment Report, which is a non disclosed report prepared solely for the lender’s purposes. The remortgage incentive is available for all properties valued up to a maximum of £2m.

Repayment Method

Repayment or Interest only. Part and Part option available.

Residency

Applicants must have been permanently resident in the UK for past 3 years and have indefinite leave to remain in the UK. In all cases, applicants should appear on the Voters’ Roll in the last 3 years. If applicants are not currently shown on the Voters’ Roll at their current address , proof of residency will be required.

Solicitors

Applicants solicitors must be approved by the lender.

Term

Term of the loan can be from 5 to 25 years.



Buy To Let Mortgages Criteria 1
Buy To Let Mortgages Criteria 2
Buy To Let Mortgages Criteria 3
Buy To Let Mortgages Criteria 4