The Prudential Regulatory Authority (PRA) issued underwriting standards for BTL mortgage contracts in September 2016. These standards require lenders to implement a specific underwriting treatment for Portfolio Landlords from September 2017.
BM Solutions will be supporting Buy to Let portfolio lending ahead of the new underwriting standards coming into effect from 30 September.
We’ll accept new mortgage applications that fall into the Portfolio Landlord definition of your clients holding four or more mortgaged Buy to Let properties. These will be assessed by one of our experienced underwriters.
Key information
Please note, there are no changes to our existing processes at the time of writing. We will advise you of any relevant changes to our application process in plenty of time before launch.
For Portfolio Landlords, all applications will continue to be submitted online via the BM Solutions mortgage application system. There are no changes to our current individually tailored process for landlords with three or fewer mortgaged BTL properties.
Portfolio applications will be required to provide additional information including proof of income and supporting documentation.
As part of the PRA underwriting requirements, Portfolio Landlords will be assessed differently from non-portfolio landlords (those holding three or fewer mortgaged Buy-to-Let properties). Assessment for Portfolio Landlords includes underwriting the full portfolio in its entirety, understanding business plans, cash flow, and personal affordability.
Our commitment is to support you with a national training programme, so you can support your Portfolio Landlords.
Workshop programmes will go live from 21 August, these are designed to help you understand the changes and how it will translate for your clients and your own business. Places are limited so please contact your BDM to secure a place today.
For all other queries please also contact your BDM.
