Foundation Home Loans (FHL) will continue to provide its range of mortgage products to portfolio landlords.
It as outlined its portfolio lending proposition for intermediaries ahead of the implementation deadline for the new PRA underwriting standards on 1 October.
FHL says there is very little change to the lender’s approach and underwriting criteria. Foundation will verify key data points electronically.
Background portfolios must have:
- A maximum aggregate portfolio LTV of 75%; this is calculated across the whole portfolio including unencumbered properties
- A minimum aggregate rental cover ratio will be 125%, stressed at 5.5%
Intermediaries will continue to access FHL’s existing products via its online system, where they can now upload details of the portfolio from a spreadsheet. As before, borrowers may have unlimited background portfolios and finance up to £2m with Foundation.
Jeff Knight, director of marketing at Foundation Home Loans, said: “Our research, undertaken amongst intermediaries and portfolio landlords, highlighted a need for a proposition that is simple and pragmatic – something that has always been at the heart of our approach. Therefore, we have not had to change much at all and will continue to provide a straightforward proposition to intermediaries.
“Indeed, portfolio landlords already represent around 50% of our business, so unlike other lenders, this is very much business as usual for us and our intermediary partners.”