Even more changes on the horizon for landlords

As if there hasn’t already been enough changes in the landlord BTL world, from September lenders will be changing how they look at property landlords, in particular landlords with four or more properties.

Reviewing the entire property portfolio along with mortgages and associated costs will ensure that the lenders can be certain that landlords can afford the new mortgage particularly if interest rates rise.

Currently lenders have not provided any indication how they intend to implement the new rules, however, it is almost certain that the landlords will need to provide considerably more paperwork to support their application.
Although the deadline for lenders to implement the new rules is 30th September, it’s likely that some lenders will announce their approach prior to this.

There has also been speculation that some lenders may no longer offer mortgages to landlords with large portfolios altogether, further reducing the pool of available lenders.

If you are a portfolio landlord and are planning to remortgage or add to your existing portfolio, you may want to consider acting sooner rather than later.  If you haven’t reviewed your buy-to-let mortgages for a while, it’s worth checking the rates you are on now to see if you might be able to remortgage to a better deal.