Final buy to let mortgage regulatory standards now in force.
The final regulatory standards for underwriting buy to let mortgages are now in force.
These standards, that were issued by the Prudential Regulation Authority, have made it mandatory for lenders to test affordability using a new, more rigorous approach.
The phasing in of the new standards began on January 1st this year and completed on September 30th. All landlords should now be aware of the changes and how they are affected, also considering the changes to tax relief that were introduced in April.
The changes may represent an opportunity for some landlords to review their portfolios and remortgage to reduce costs. For others, the opportunity may be different as you consider buying new properties and capitalize on your investments. In either case, sourcing buy to let mortgages from lenders who fully understand your goals is paramount.
Deal Direct’s advisors are fully in tune with the buy to let market and can offer first-class assistance in helping you make the most of your property portfolio. Speak to one of our experts today on 0800 048 8828.
Please note Deal Direct are regulated to offer independent mortgage advice; however, we are not regulated to offer general financial advice. If you want to discuss the suitability of property as an investment, you will need to contact an independent financial adviser.
Also, buy to let mortgage applications from:
- applicants whose intention is to benefit from house price growth
- applicants whose intention is to benefit from rental income
- applicants who are letting to buy
will be treated as a normal buy to let and not as a consumer buy to let. In addition, their subsequent remortgage applications will also be treated in the same manner.
For buy to let mortgage advice call 0800 048 8828.
