NatWest reduce both their minimum income and affordability rate for their BTL customers
NatWest has joined other lenders, in a matter of weeks, by relaxing their Buy to let criteria.
With immediate effect NatWest for small portfolio landlords and like-for-like remortgage applications, will no longer request ‘proof of income’, which will reduce the underwriting process and the speed mortgage offers will be issued potentially.
Customers can also benefit from the reduction in the stress rate, which is used to calculate the amount that can be borrowed. It has been reduced to 4.5% for either 5 Year fixed rates or like-for like remortgages applications.
Luke Christodoulides, Head of Corporate accounts at NatWest said:
“We are pleased to further support the buy to let market and help customers with their additional borrowing needs. The changes follow on from the simplifications we made to our buy-to-let proposition earlier this year and show our commitment to this important sector."
This is positive news for the Buy to let market, showing lenders are keen to grow their mortgage market in this sector.
Sometime is its difficult for customers to proof their income is over £25,000 and NatWest has joined a number of lenders who already offer ‘no minimum income’ Buy To Let’ mortgages. To name a few - Accord, BM Solutions, the Mortgage Works.
In addition, the lower stress rate will assist customers who struggle to obtain the maximum possible when taking into account the property value/rental income. Recently this has got more difficult in some areas of the country, where rents have not increased in line with the property values.
To look at options available please contact Brooklyns Financial on 01628 564631 or via contact us.
Please note your mortgage is secured on your property. Your home may be repossessed if you do not keep up repayments on your mortgage.
Most Buy-to-Let Mortgages are not regulated by the Financial Conduct Authority.
The information contained within was correct at the time of publication but is subject to change.
Nothing contained within this communication should be construed as advice. Please seek individual professional advice relating to your personal circumstances.
