From Monday 24 July, we made some important Buy to Let (BTL) changes.
Where all the borrowing will be on a 5 year fixed rate, we’ve introduced a new 4.50% BTL affordability rate.
| Application type | Rental cover | Buy to Let affordability rate | |
| All other products | 5 year fixed | ||
| BTL purchase | 145% | 5.50% | 4.50%* |
| BTL remortgage with capital raising | |||
| BTL remortgage without capital raising (meets eligibility criteria for transitional arrangements) | 125% | 5.00% | |
* Porting applications don’t qualify for the 4.50% affordability rate, so 5.50% will apply.
All applications need to be self-financing, so the rent must cover both 100% of the mortgage payment and the monthly running costs.
Key criteria
All Buy to Let properties need to meet the following criteria:
- At least one applicant must own the residential property which they live in
- At least one applicant must be employed, self-employed or in receipt of pension income
- Maximum loan size £750,000
- Minimum property value £75,000
- Maximum LTV 75%; new build flats 70% LTV
- Minimum age 21 years
- Maximum age at the end of the mortgage term cannot exceed any applicant’s 75th birthday
- Remortgage with capital raising (including debt consolidation) for personal use up to 75% LTV
- Remortgages without capital raising (transitional arrangements) – portfolio landlord applicants will be considered where the eligibility criteria has been met
Check out full details of our Buy to Let products available and lending criteria on our website – www.santanderforintermediaries.co.uk
Buy to Let calculator
Our simple Buy to Let calculator is easy to understand and helps you calculate the maximum loan we could offer.
Please give your dedicated contact a call if you would like more information or to discuss any new Buy to Let cases that we may be able to help you with.
Santander for Intermediaries
Aimed at intermediaries and investment professionals only: not for public distribution
