The Hinckley & Rugby Building Society has extended its buy-to-let underwriting to allow for portfolio landlords, now providing loans for between four and 10 mortgaged investment properties.
All of Hinckley & Rugby’s current products will be available to portfolio landlords from Monday July 2. There is a quick calculator on the Society’s website so intermediaries can check the lending policy and see if an application is likely to succeed.
The criteria include that the Interest Cover Ratio (ICR) of the property and the portfolio as a whole must be at least 145% at a reference rate of 5.5%. At least one applicant must have at least two years of experience as a landlord.
The maximum LTV of the portfolio is 70%, no applicant should have acquired more than three buy-to-let properties in the previous year and the applicant’s age must not usually exceed 80 at the end of the mortgage term.
The application process for portfolio landlords, and the supporting documentation required, is the same as for non-portfolio applications as the criteria is built into the online calculator.
Carolyn Thornley-Yates (pictured), the Hinckley & Rugby’s head of sales and marketing, said: “Because we are a manual lender, we can look at all the elements of a buy-to-let portfolio application. Each case will be assessed individually, enabling everyone to have confidence in its affordability.
“The calculator looks at the subject property, the portfolio as a whole, the level of experience and the rate at which the portfolio has grown. We will work closely with intermediaries to ensure their landlord clients achieve sustainable funding.”