Foundation Home Loans has made a number of changes to its criteria concerning proof of income as well as doubling the value of portfolios it will accept.
For landlords with portfolios to purchase or remortgage, the lender has increased the maximum portfolio size from £1 million to £2 million.
Where previously FHL required the last three months’ bank statements for income verification, it can now also be evidenced via:
- Last month’s payslips and last P60 for employed applicants
- Last year’s accounts or SA302 for self-employed applicants
- Evidence of pension income for retired applicants OR
- Trust funds, investment and rental income as additional income (SA302 or income statement)
Customers can still opt to provide three months of bank statements.
Simon Bayley, FHL’s commercial director, said, “Having seen that our existing portfolio loans have performed so well, we are keen to develop our appetite in this area of the buy-to-let market. By doubling the size of portfolios we will accept, we are sending a clear message to advisers for their clients about our intentions in this important buy-to-let sector.
“In order to make it easier to provide relevant evidence of income we have also expanded the choice of documentation required at the application stage. This is further evidence of our ongoing determination to improve and simplify our criteria to make it easier for introducers to do business with FHL.”
