The Prudential Regulation Authority who are responsible for the regulation of mortgage lenders in the UK introduced new rules around the treatment of new mortgage applications made by ‘portfolio landlords’. Portfolio landlords are those who own four or more mortgaged buy-to-let properties. Lenders are expected to apply rental stress test calculations to the existing property portfolio in addition to the new property they may be looking to purchase to ensure that the loan and the performance of the portfolio can meet its liabilities. There tend to be additional paperwork requirements from the lender to complete when applying for a mortgage for a portfolio landlord such as: business plans, asset and liability statements, cashflow forecasts and the provision of AST agreements.
Providence Global Finance specialise with portfolio landlords to ensure that we can maximise the potential of the portfolio by offering competitive products from lenders who can consider such applications and also also assist you with the preparation of the additional paperwork needed by lenders to get the loan agreed in a timely manner.