Buy to Let Mortgage Conditions Eased

by Property118.com News Team

15:45 PM, 25th January 2012
About 7 years ago

Buy to Let Mortgage Conditions Eased

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Buy to Let Mortgage Conditions Eased

As the buy to let mortgage wars hot up, several lenders are easing their terms for landlords.

Yorkshire Building Society has decided to offer buy to let across England and Wales, instead of just London and the South East.

Some qualifying conditions have been relaxed in line with the move out of the capital –

  • Minimum property value is £100,000
  • Minimum landlord age is 25 years old
  • Minimum income is £20,000 per year

Yorkshire’s head of buy to let, Jeremy Law, explained the changes are part of the society’s planned phased entry in to the property investment market.

“We do not see ourselves dipping in and out of the market. We are here to stay and will be an active lender all year round,” he said.

Co-op Bank buy to let subsidiary Platform is launching a new range of buy to let mortgages.

Maximum loan size has also jumped to £500,000.

Landlords can opt for two-year fixed rate or tracker deals at 65% loan to value.

Movers stuck with a property they can’t sell can also consider the lender’s let to buy package.

Platform’s Nick Allen said: “The introduction of the premier buy to let products will further improve our buy-to-let range and enable brokers to offer a wider suite of products to their clients.”

Recently, Platform announced a planned 33% increase in buy to let lending for 2012 – up from £450 million last year to a target of £600 million.

Barclays Bank is launching a 75% loan to value buy to let package, including a new 10 year fixed rate loan.

A two-year fixed rate at 5.29% and a two-year tracker at base +3.99% are also available.

Paragon Mortgages and subsidiary Mortgage Trust also revamped their buy to let mortgage range in recent weeks.



Comments

22:04 PM, 2nd February 2012
About 7 years ago

Related to the relaxing of rules by lenders, can anyone point me to a lender who might assist me with a 75% mortgage. I will be letting the property to a council for their Public Sector Leasing scheme. My current lender will not lend as they insist on a tenancy of no longer than one year. The scheme runs on a five year contract, no voids whether the house is empty or tenanted and the council repairs any damage caused by thier tenants. It's a no-brainer of a scheme, but unless I get the lending sorted I will not be able to renew my contract with them as they insist on the permission of the lender which wasn't the case when I first started the contract.
Help!!

Mark Alexander

22:10 PM, 2nd February 2012
About 7 years ago

Sounds like you need a commercial lender for that Neil. Try doing a search for "Brooklands" Commercial Finance in the WHO section of the Directory in the header of any page on Property118. You can them send them a private message free of charge outlining your requirements. I know the principal there, a chap called Malcolm Jones. He is an NACFB Broker and works under a strict COP and has PI like all NACFB registered brokers. He's a good chap, I've referred several people to him and always got positive feedback.


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