Important changes to our portfolio landlord lending policy
We’ve made some changes to our portfolio lending policy
We’ve introduced the following changes to our portfolio landlord lending policy which comes in to effect 3 December. Any pipeline applications will not be impacted. These changes apply to how we assess the whole portfolio only.
- We’re reducing the stress rate from 5.5% to 5% for all portfolio calculations
- We’re increasing the minimum portfolio ICR from 125% to 145% for Higher/Additional rate tax payers (anyone earning >= £49k in England and Wales or >= £42.5k in Scotland).
True to our pledge to give you two working days’ notice of product closures, our latest changes will come into effect from 8am Tuesday 8 December 2020.
Remember, an AIP does not secure a closing product. If an AIP refers, we cannot guarantee we’ll be able to review it before the product is closed.
So, if your AIP does refer, you should still proceed to full mortgage application to secure the product. Unfortunately applications received after 8pm Monday 7 December 2020 will not be accepted.