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Lending Criteria.

Our criteria is split into residential and buy to let, so use the options below to find the criteria you need.

Historic CIFAS Record (Years)

Indicates if we can potentially accept Buy to Let applications from an applicant that is on the CIFAS register and if so, what time must have passed in order for them to be potentially accepted by the lender for a new mortgage application.

We can potentially consider these customers that are registered on the CIFAS register. This would be subject to underwriter approval, please refer all cases to our Business Development Team to discuss further.

HMO BTL affordability assessment

This relates to the potential rental calculation we will apply.

We do not accept Buy to Let applications for HMO properties.

HMO First Time Landlord

Indicates if we can consider a Buy to Let application on an HMO property from a first time landlord.

We do not lend on ‘Houses of Multiple Occupation (HMO)’.

HMO Maximum LTV

Indicates the maximum LTV we can consider for Buy to Let applications on HMO properties

We do not lend on ‘Houses of Multiple Occupation (HMO)’.

HMO Maximum Number of Bedrooms

Indicates if we have a maximum number of bedrooms allowed on HMO properties and if so how many

We do not lend on ‘Houses of Multiple Occupation (HMO)’.

HMO Maximum Number of Kitchens

Indicates the maximum number of kitchens permitted by us in an HMO property

We do not lend on ‘Houses of Multiple Occupation (HMO)’.

HMO Maximum Number of Storeys

Indicates the maximum number of storeys permitted on HMO properties.

We do not lend on ‘Houses of Multiple Occupation (HMO)’.

HMO Minimum Applicant Experience

Indicates if we require applicants to have a minimum HMO experience and if so how much (IN MONTHS)

We do not lend on ‘Houses of Multiple Occupation (HMO)’.

HMO Minimum Double Bedroom Square Metre

Indicates if we have a minimum square metreage requirement on a double bedroom and if so what it is.

We do not lend on ‘Houses of Multiple Occupation (HMO)’.

HMO Minimum Property Value

Indicates if we specify a minimum property value for HMO properties and if so what it is.

We do not lend on ‘Houses of Multiple Occupation (HMO)’.

HMO Minimum Single Bedroom Square Metre

Indicates if we have a minimum square metreage requirement on a single bedroom and if so what it is.

We do not lend on ‘Houses of Multiple Occupation (HMO)’.

HMO rental valuation assessment

Indicates if we can potentially use the HMO rental valuation as opposed to standard AST valuation for HMO applications

We do not lend on ‘Houses of Multiple Occupation (HMO)’.

HMO Unlicensed Acceptable

Indicates if we can potentially accept Buy to Let applications on Houses of Multiple Occupation (HMOs) that are ‘unlicensed’

We do not lend on ‘Houses of Multiple Occupation (HMO)’.

HMO: Communal area in the property

Indicates if we can potentially consider an HMO application without a communal area in the property

We do not lend on ‘Houses of Multiple Occupation (HMO)’.

Holiday Lets

Indicates if we can potentially consider applications from borrowers that wish to Let the property on a Holiday Let basis.

We offer specific products for any Holiday Let applications.

Affordability is based on an average of low, medium and high seasons, which we typically x by 30 weeks (35 weeks if property has been let for 2 years by the applicants). Once you have an annual figure, you will need to divide this by 12 to provide you with the average monthly expectation. We then apply one of the following:

For Basic Rate or Nil Rate UK taxpayers = 125% ICR (either the pay rate + 2% (Min 5.5%) or the 5 year rate).
For Higher Rate or Additional Rate UK taxpayers = 145% ICR (either the pay rate + 2% (Min 5.5%) or the 5 year rate).

Please note that properties marketed via AirBnb will be subject to our existing rental coverage assessment, requiring a lettings agent (not Airbnb) to provide the known or anticipated letting value, exactly the same as a standard holiday let. Please contact the Business Development Team to discuss further or for support with the affordability assessment.

Portfolio Limits = maximum of 3 properties per application including properties held in a limited company or sole name. This also includes unencumbered properties as well as mortgaged properties.

Any restrictions/covenants in place on the property/lease are unacceptable to the Society.

House of Multiple Occupation (HMO's)

Indicates if we can potentially accept Buy to Let applications on Houses of Multiple Occupation (HMOs)

We do not lend on ‘Houses of Multiple Occupation (HMO)’.

House/Bungalow Maximum LTV (New Build)

Indicates the maximum potential loan to value (LTV) we can accept where the property type is a NEW BUILD house/bungalow.

We can accept New Build houses and bungalows up to 80% LTV.

House/Bungalow Maximum LTV (Standard)

Indicates the maximum potential loan to value (LTV) we can accept where the property type is a house or bungalow and it is NOT considered a new build.

We can accept houses and bungalows up to 80% LTV.