Metro Bank has made changes to its criteria for buy-to-let lending.
The bank has reduced its stress test rate on five year buy-to-let mortgages, from 5.5% to 4.5%, given the longer term nature of the product.
Meanwhile, the maximum age for a buy-to-let applicant at the end of their term has been increased from 80 to 85. The bank has made this decision to assist more borrowers who may want to continue using a buy-to-let property to help with their retirement planning.
Charles Morley, director of mortgage distribution at Metro Bank, said: “This is an important first step on our specialist mortgages journey. Our buy-to-let range is now more flexible than ever before with a truly specialist offering that provides the full range of options for borrowers, many of whom are struggling to get a mortgage due to the challenges of the coronavirus pandemic.
“We have plenty more planned over the next 12 months as we embark on our mission to become the UK’s leading specialist mortgage lender, offering products as individual as our customers are.”