BM Solutions has stated that it will be supporting buy-to-let portfolio lending ahead of new underwriting standards coming into effect from 30 September.
The lender will accept new mortgage applications that fall into the portfolio definition of customers holding four or more mortgaged buy-to-let properties and will be assessed by one of its expert underwriters.
All applications will continue to be submitted online via the BM Solutions mortgage application system, with no change to its current individually tailored process for landlords with three or fewer mortgaged buy-to-let properties.
Portfolio applications will require brokers to provide additional information including proof of income and supporting documentation.
As part of the PRA underwriting requirements set out in September 2016, portfolio landlords will be assessed differently from non-portfolio landlords (those holding three or fewer mortgaged buy-to-let properties). This includes underwriting the full portfolio in its entirety, understanding business plans, cash flow, and personal affordability.
BM Solutions says it will be implementing a national broker workshop programme from 21 August designed to help intermediaries understand the changes and how it will translate for their customers and for their own business.
Phil Rickards, head of BM Solutions, said: “A continuous wave of changes in the past few years has led to added layers of complexity in the buy-to-let market. We have worked hard to keep our ethos of making things simpler, and whilst the new PRA standards will require some more information at the time of application, I’m confident that our new proposition will support brokers to continue writing good quality portfolio business, backed by the award-winning service on which we remain focused.
“Being able to support both small and portfolio landlords with our tailor made proposition is a key part of our ongoing commitment to the market. I would strongly urge brokers to contact their BDM to secure a place at our upcoming workshops where we will unveil full details of our criteria.”
