Company Director, Michael Taylor-Brown was included in Vouched For 2020 Guide to the UK’s Top Rated Advisers over the weekend. As a seasoned mortgage adviser Michael and valued team member Michael became a company director in 2019. He specialises in first and next time mortgages. We couldn’t be be more proud that he has been acknowledged as a top adviser. This prestigious status is based on client feedback and independent reviews and the Guide is distributed by The Times
The Bank of England (BoE) is introducing new mortgage regulations for landlords. They will come into effect from the 30th September 2017.
It will mean that when applying for mortgages for new properties, most landlords with three or more mortgaged properties that they rent out, will need to give much more information regarding their existing properties, assets, income, liabilities and costs.
How will things change?
At the moment the majority of lenders focus mainly on the value and rental income of the property they are lending against when underwriting buy to let mortgages.
With the new underwriting requirements from the BoE, all lenders will need to collect and validate information regarding every property that the landlord has an interest in when considering their application. This will include collecting information on rental income, property values, mortgages and costs from each and every property the landlord owns.
The reason the BoE has asked lenders to change their approach is that they want lenders to have a full understanding of the financial circumstances of landlords with multiple properties and the impact that any new lending might have on their finances.
Last month saw the release off two great offers from different banks, making it even more achievable for you to own your own home.
The Bank of Ireland UK has announced a range of 95% loan-to-value (LTV) mortgage deals to replace the government’s Help to Buy mortgage guarantee scheme which came to a close at the end of 2016.
The purchase-only scheme includes three products which come with a minimum loan size of £50,000.
Deals in the scheme are a two-year fixed rate at 3.89%, a three-year fix at 3.98% and a five-year deal at 4.09%.
The bank stated that it hoped its range will give greater opportunities to first-time buyers, particularly those who are struggling to save a deposit.
Alison Pallett, Director of Sales at the Bank of Ireland UK, said: “We believe that first-time buyers are integral to the long-term health of the housing market, helping to stimulate activity at all stages of home ownership. We hope that this new proposition will help to enable the next generation of home owners to take their first steps onto the housing ladder.”
It was also announced last month by Clydesdale Bank that they will be waiving the valuation fee on their first time buyer range, but for a limited time only.
They are currently offering FTB products including a two-year fixed rate at 3.59% up to 95% LTV. Three-year fixed rates start from 2.89% up to 90% LTV and 3.99% at 95% LTV.
The bank is able to lend up to five times the income (sole or joint) of mortgage applicants, depending on the overall affordability.
They are also reducing rates across its mortgage range by up to 0.50%. Two-year fixed rates now start from 1.34% at 75% LTV. Five-year fixes are available from 2.04% at 75% LTV, rising to 2.19% at 80% LTV.
Here at Limetree Financial Services, we are able to access offers from Clydesdale Bank, where not all brokers can. So do call us today for more information about this incredible deal while it lasts!
Have you ever wondered about retiring somewhere different? Or what place might be the best to bring up the kids? According to two recent surveys, for family life the East of England comes out top, but for retirement you might want to look West or South.
uSwitch.com has just published its first ever Better Family Life Index and the top three areas are all located in the East of England: Hertfordshire, Cambridgeshire and Central Bedfordshire.
Back in February our blog included a story about Barclays’ plans to let landlords cover rental shortfalls with personal income. We can now update you on recent developments: the bank has just scrapped its old B2L mortgages to make way for this new approach.
Now, Barclays puts landlords through an affordability assessment to find out whether rental will be met. Where there’s a shortfall, landlords can still potentially get a mortgage if they have enough disposable income to plug the gap. If applications were not completed by July 24th, landlords need to re-submit under this new assessment criteria.