| arrears secured lending |
No more than 2 months arrears in last 2 years (none in the last 3 months). |
| arrears unsecured lending |
No more than 2 months in arrears on any unsecured agreement in the last 2 years. |
| CCJs |
1 CCJ maximum £500 in the last 3 years (satisfied or not). |
| bankruptcy |
Discharged 3 years. |
| IVA |
Satisfied 3 years. |
| defaults |
None in the last 2 years |
| minimum / maximum age |
Minimum age - 21 years.
Maximum age - none, if the applicant is retired, please contact us. |
| max. no. of applicants |
4 |
| residency status |
We will consider foreign nationals who have:
a. Permanent Residence UK - 12 months.
b. Indefinite leave to remain / right of entry.
c. Registered to pay UK income tax.
d. Salary into UK bank account.
e. Applicants with diplomatic immunity will not be considered.
|
| customers |
We will consider customers who are:
a. employed.
b. self employed.
c. retired, but contact us to discuss
|
| first time buyers |
80% maximum LTV on all products. |
| identification |
We'll need certified copies of both identity and address identification to be sent in with the mortgage application. |
| minimum loan amount |
£50,000 |
maximum loan amount |
£500,000 up to 75% LTV and £300,000 up to 80% LTV
(per property, no minimum valuation).
Lending will normally be based on the lower of contractual purchase price or valuation (net of any sales incentives).
The following exceptions will apply:
Where the applicant is purchasing as sitting tenant or from a close family member and the price is under market value, lending will be based on Valuation. Loans for Right To Buy purchases and re-mortgages
|
| loan purpose |
- purchase
- remortgage, including capital raising
- debt consolidation
- let to buy
- Houses in multiple occupation and student lets are excluded
|
minimum / maximum term |
- Minimum term - 5 years
- Maximum term - normally 30 years
|
repayment types |
- Repayment
- Interest Only
- Combination of both
|
| maximum exposure / borrower |
The maximum exposure per borrower is £2 million. Where total exposure exceeds £1 million we will require additional information. Contact us for a DIP. |
| maximum LTV |
- Up to 80% subject to product selected and property type
- Up to 80% for first time buyers
- Up to 65% on new build houses (we won't lend on new build flats)
New builds include:
- conversions
- properties over 1 year old but previously unoccupied
- properties of less than 1 year old
|
| builder's / vendor's incentives |
- All details must be disclosed at DIP stage, any incentives would normally be taken into consideration for the valuation
- Applicants will be required to provide a deposit from personal resources
|
| higher lending charge |
There is NO higher lending charge |
| available to: |
- first time landlords
- first time buyers
|
minimum income requirement |
- £20,000 (joint applicants: applies to at least one applicant).
- Regulated buy to let applications will require income to be verified.
"Top Slice" income option:
Where there is a rental shortfall, your client can make up the shortfall using other income subject to the following:
- Minimum of 85% of the required rental must be serviced by the Buy to Let property in question.
- Applicant must be a home owner with good conduct on residential mortgage, if this is mortgage free, please refer.
- Full Income verification is required.
- All borrowing (secured & unsecured) must be declared and will be used as part of the Income multiple/ Affordability calculations - based on £20k income after deduction of other regular commitments.
- The rental shortfall can be made up by an amount equal to (but not greater than) the difference between the applicants’ residential mortgage and the amount calculated as 4+1 or 3.25 x joint income multiple (3.5 x if joint income exceeds £35,000).
- Maximum LTV is 80%.
|
| rental cover |
Tiered rental calculation, allowing 110% rental cover on those deals up to 75% LTV. Here's a full run-down on our tiered structure:
| Loan To Value |
Minimum Rental |
| Up to 75% |
110% |
| Up to 80% |
115% |
Buy To Let rental calculation example.
The gross monthly rental provided by the applicant will be subject to comment from the valuer.
Rental cover calculation will exclude any product fees.
New build houses will have a standard tiered rental income calculation and be subject to a maximum LTV of 65%.
|
| tenancy |
All lets on assured shorthold tenancy - if £25,000 per annum or above, or let to a limited company, contact us |
| items required with applications |
- Proof of income. Either last pay slip and a P60 or an Accountants / Employers reference.
- The last mortgage statement is required for all Owner Occupied mortgages outstanding where 12 months history is not available via the Credit Reference Agency search. Where the last mortgage statement is not available, bank statements showing a full 12 months repayments may be required.
- We will require confirmation of mortgage conduct, for a minimum of 6 months, on 3 of
the applicant’s existing Buy-to-Let mortgages. This can be either from a credit reference
search, or shown on mortgage statements or bank statements
- Bank statements are NOT normally required but may be requested at underwriter’s discretion
- Proof of personal identification and evidence of address: Please provide certified copies of
original document, confirm that you have seen and verified 1 identification document and
1 evidence of address. 2 of each will be required where a face to face meeting has
not taken place
- We'll need certified copies of both identity and address identification to be sent in with the mortgage application
|
homebuyers / structural surveys |
We have formed a partnership with e.surv chartered surveyors giving your client access to over 200 surveyors. To discuss the various options your client can simply call the Survey Helpline on 0845 606 3355 (calls charged at local rate). The surveyor will complete the survey at the same time as our Standard Mortgage Valuation and we will reduce the Standard Mortgage Valuation fee to £20.00. We may receive a commission from the surveyor (average £10). If your client arranges to use their own surveyor not via the Survey Helpline they will need to pay for the Standard Mortgage Valuation where this applies.
|
| re-inspections |
If the valuer needs to re-inspect the property before the advance (or part of it) is released, a fee of £75 per visit will be payable. If as a result of a re-inspection the valuer requests that a revaluation be carried out, the applicants will be charged for the revaluation. |
unacceptable property |
New build flats, properties outside England & Wales, freehold flats / maisonettes, ex local authority high rise flats (over 4 storeys), all local authority flats LTV > 75%, ex-housing association high rise flats, prefabricated buildings and PRC properties (not subject to an accredited repair scheme), unexpired lease of < 30 yrs remaining at the end of the term, agricultural restrictions, properties termed as 'defective' under the Housing Defects Act 1984, properties under 10yrs old without an approved New Build Warranty or architect's certificate, shared ownership, multi-occupation.
|
property exceptions we will consider |
- Properties with business uses
- studio apartments
- flats in blocks of over 4 storeys
- flats over commercial premises
- ex-Ministry of Defence houses and flats
- BISF steel framed properties (non recognised construction types)
|
fees |
Refer to the product details for the application fee
|
portability |
All our mortgages are portable |
insurance |
No compulsory salt insurance. All properties must be insured for the reinstatement value recommended by the valuer.
|
| customer cancellations |
- If a mortgage application is cancelled by the customer before the valuation is instructed then
the full fee is refundable to the customer. However, if the valuation has been instructed and the customer cancels the application prior to the survey being carried out £45 will be withheld and only the remaining balance refunded to the customer
- Please note that the £45 administration charge is inclusive of the overall fee and is not an
additional charge. e.g. A £200 total charge will be made for a £100,000 property. This £200
includes the £45 administration charge.
|