Nick Jones

Looking at BTL one year on from PRA underwriting changes



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It’s been nearly a year since more robust underwriting checks were ushered in for landlords with four or more mortgaged buy-to-let properties.

The tougher new guidelines – brought in by the PRA at the start of October 2017 – were designed to improve the standard of business with more responsible lending and create a more ‘professional’ sector.

This has inevitably meant some landlords dropping out of the market. However, there remains a huge demand in the private rental sector and significant opportunities for brokers whose clients are looking to become landlords in this new era.

We have already seen a major shift across the buy-to-let market with more portfolio landlords tweaking their portfolios and looking to invest in different types of properties, such as HMOs, or semi-commercial properties, such as flats above shops.

Because of the complex nature of these situations, mainstream lenders may be reluctant, or unable, to provide funding. However, specialist lenders such as Together are in a great position to fill this void. We have a strong reputation for our commonsense lending, and have been recognised as a leading finance provider in the buy-to-let sector, having won numerous industry awards for our buy-to-let offering.

Our underwriters in this field have a vast knowledge of the market, and were well prepared long before the regulatory changes came into place. Since then, the team at Together has worked closely with our broker partners to clearly explain our products and processes.

This month, to underline our continued confidence in the buy-to-let market, we’ve launched our product range to thousands more brokers to help even more of their landlords and investor clients, including those with multiple properties, as well as those wanting to secure finance on HMOs or semi-commercial properties.

This latest expansion in our distribution network makes it clear that we’re committed to enhancing our offering in line with brokers and intermediaries working in the buy-to-let market as it continues to evolve in the future.

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