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Buy to Let Mortgage Criteria

You should be aware that not all mortgage lenders use the same criteria when assessing applications, so being rejected by one lender doesn’t necessarily mean that you are out of options.

After a full assessment of your situation, our mortgage brokers will know which lender is most likely to accept your application and we do not charge a fee for our services make an enquiry*** now.

What will affect your Buy to Let Application ?

Age – Some lenders will not issue an offer to applicants under 21 or 25, but there are a few who will offer to those over 18 providing you satisfy the rest of their criteria.

Homeowner Status – Do any of the following statements describe your circumstances.

  • You are a first-time buyer ?
  • You own a residential property but have no buy to lets ?
  • You are an experienced landlord ?

Each of the statements above will have an impact on who you should apply to and which mortgage products will be available to you.

As a first time buyer the majority of lenders will reject your application as most require you to own a residential property first but this is not the case for all lenders. Similarly as an experienced Landlord with multiple buy to lets many lenders will place a cap on how much you can borrow but these figures vary from one lender to another.

Where do you live – Most lenders require you to be living in the UK so as an expat you will struggle to obtain a UK based loan.

Credit Report – Buy to Let Mortgages just like residential mortgages are subject to credit scoring, failure to keep up with your current credit commitments will most likely have a negative effect on your application.

Buy to Let Property Criteria

Purchase Price – In Northern Ireland the current minimum purchase price for a buy to let mortgage is £50,000 although this figure could change Contact Us*** for up to date information.

Deposit – Buy to Let mortgage require a much larger deposit than residential mortgages, currently you will need a 25% deposit as a minimum requirement in Northern Ireland.

Property Type – If the lender perceives the risk of default to be higher they may refuse your application based on the type of property that you are trying to purchase. Most standard houses will be fine but studio flats or unusual properties may be rejected.

Tenant Criteria – Buy to Let Mortgages

Criteria will vary from one tenant to another but an application may be rejected if you intend to let the property to students or tenants who will rely on benefits.