The Mortgage Works BuytoLet major criteria and product changes

by Neil Patterson

12:45 PM, 5th September 2012
About 8 years ago

The Mortgage Works BuytoLet major criteria and product changes

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The Mortgage Works BuytoLet major criteria and product changes

The Mortgage Works BuytoLet team have made major changes to their criteria and products focusing on First Time Landlords, Let to Buy, Purchasing from a family member and withdrawing from the regulated BuytoLet market.

This is significant for the whole of the BuytoLet market as The Mortgage Works have a very large market share of new business due to its popular, products, criteria and 80% Loan to Value range. All the changes detailed below are now in force for new applications.Regulated Buy to Let:

Regulated BuytoLet applications where a property will be occupied by a member of the borrower’s immediate family will no longer be accepted.

This is a shock to the market as it only leaves BM Solutions able to accept regulated applications and they have no customer facing sales force, so all applications must be submitted by a broker.

Vendor Family Sales:

No further applications will be accepted by clients looking to buy a property from a relative.

First Time Landlords (FTLs): Good News 75%

Previously a First Time Landlord could only borrow a maximum of 65% Loan to Value selected from the core BuytoLet range. Now The Mortgage Works have launched a new FTL range with a maximum Loan to Value up to 75%.

Example products below are all a maximum of 75% LTV:

  • 3.59% 1 year tracker 3.5% lenders fee
  • 4.49% 2 year fixed 3.5% lenders fee
  • 4.99% 2 year fixed 2.5% lenders fee
  • 5.34% 3 year fixed 2.5% lenders fee

Let to Buy:

The Mortgage Works have also launched a Let to Buy (LTB) product range for experienced landlords remortgaging their existing residential property as a BuytoLet.

Example products below:

  • 3.24% 1 year tracker Max 65% LTV 3.5% lenders fee
  • 3.59% 1 year tracker Max 75% LTV 3.5% lenders fee
  • 3.94% 2 year tracker Max 65% LTV 3.5% lenders fee
  • 4.19% 2 year fixed Max 65% LTV 3.5% lenders fee
  • 4.49% 2 year fixed Max 75% LTV 3.5% lenders fee
  • 5.34% 3 year fixed Max 75% LTV 2.5% lenders fee
  • 5.99% 2 year fixed Max 65% LTV No lenders fee

To discuss or arrange a specific Buy to Let deal you can call us on 01603 489118 or email info@property118.com

If you would like to add your own requirements and search for the most popular available Buy to Let products please click here



Comments

13:32 PM, 10th September 2012
About 8 years ago

Are any other lenders allowing vendor family sales?

Howard Reuben CeMap CeRER

14:49 PM, 11th September 2012
About 8 years ago

yes but ..... the (BTL mortgage) market is changing frequently eg as Neil points out above with the recent changes at TMW.

Through my own recent research for one of my Clients, I can confirm that there is at least one other lender who will accept regulated BTL mortgages (ie for family members) but not everyone is eligible for these deals and - as Neil mentions above - some lenders only accept applications via Brokers.

With such a restricted (and everchanging) market I recommend using a professional, BTL broker who is kept up to date with the launches, withdrawals and changes to the mortgage products available.


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