Criteria FAQs
Do you lend to first-time landlords?
Yes. We lend to both first-time landlords and first-time buyers on standard buy-to-let.
Do you lend on the Isle of Wight?
Yes.
Do you lend in the Isle of Man or the Channel Islands?
No.
What are your exposure limits in a block of flats?
We will consider up to 100% exposure to a block of four or fewer flats. If the block has 5 or more flats, exposure will be limited to the higher of 2 or 20%.
Will you lend on retirement properties?
Retirement properties with restrictive covenants in respect of retirement are unacceptable.
Will you lend where the property has solar panels?
Yes. However, they either need to be owned or where there is a lease, there can be no charge on the title.
The solicitors will also need to check the terms of the lease and where these do not meet the UK Finance minimum requirements, a deed of variation must be entered into on or before completion to ensure the UK Finance minimum requirements are met.
Will you lend where there are sitting tenants?
No.
Will you lend where the family will reside in the property?
No.
Do you lend on CBTL?
No.
What is your definition of CBTL?
We consider the transaction CBTL where the applicant has either inherited the property or has previously resided and it is their only buy-to-let property. Once a client has 2 or more buy-to-let properties, they are no longer considered CBTL.
Can I port my mortgage?
No.
Do you allow overpayments?
Yes, any amount can be paid. However, only 10% of the outstanding balance can be redeemed per annum without any Early Repayment Charges (ERC) being applicable during the fixed rate period. Anything over 10% will incur any ERC charges due.
Do you allow remortgage within 6 months of purchase?
Where the current value is higher, we will only proceed on the higher value where this can be evidenced through works carried out to the security subject to valuers’ comments. Where this cannot be evidenced, we will base our lending decisions on the original purchase value.
Do you allow back-to-back transactions?
Yes, but only where there is a clear reason and evidence for the reason for re-sale – i.e., where professional builders can evidence that the property was originally taken as a part exchange against a new build, or situations where it has been bought recently and refurbished for onward sale.
What EWS1 rating is acceptable?
A1, A2 & B1 are acceptable subject to valuers’ comments.
Do you offer top slicing?
No, not currently.
How long are your offers & valuations valid?
Offers are valid for 90 days; valuations are valid for 6 months from the date of the report.
Do you lend on single-skin properties?
Yes, but only where the single skin element is a single storey and does not exceed 50% of the total external wall area. This is subject to valuers’ comments.
Do you lend on investment-led properties?
Yes, but by referral only and with a maximum loan-to-value of 65% LTV.
Do you lend on joint borrower, sole proprietor?
No.
Do you lend to Tenants in Common?
Yes.
Do you lend to trading companies?
Yes.