New BTL range launches at Mansfield BS

New BTL range launches at Mansfield BS
For landlords wanting the security of our five-year fixed rate, we’ve maintained our lower rental cover calculation, recognising the stability that long term fixed rates currently provide to property investors

Mansfield Building Society has announced this morning that it has launched a new BTL product range that will be up to 75% loan to value.

According to the lender, the new range will include three and five year fixed rates as well as two and three year discounted rate products.

For house purchase and remortgage with additional borrowing, rental income must now be at least 145% of monthly mortgage interest calculated at 5.5% with the exception of the five-year fixed rate product, which requires rental income to be at least 130% of the monthly mortgage interest calculated at 5%.

The Society’s existing FCA regulated Family buy-to-let product and its Consumer buy-to-let mortgages remain available up to 70% LTV. Rental income requirements for these mortgages remain unchanged at a minimum 130% of the monthly mortgage interest calculated at 5%. The Society will also use this rental income calculation in all instances where remortgages have no additional borrowing.

National Development Manager, Steve Walton, said that meeting the new regulatory standards was the catalyst for the Society to review and improve its overall buy to let proposition.


Steve said: “Responding to the latest PRA requirements does not necessarily mean that lenders cannot continue to offer flexibility and choice. We wanted to make sure that we have the right criteria and products available for our broad buy to let customer base. By raising our maximum loan to value to 75%, brokers and their clients will benefit from increased product availability.

For landlords wanting the security of our five-year fixed rate, we’ve maintained our lower rental cover calculation, recognising the stability that long term fixed rates currently provide to property investors. We’re also pleased to be retaining our FCA regulated Family buy-to-let on the lower rental income requirement.

We believe that brokers will welcome these changes and our commonsense and pragmatic approach to the new regime.”

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Latest Comments

MBM Homelets
MBM Homelets 23 Mar 2017

Although this is a very positive step, there is little or no guarantee of the standard of workmanship employed by the tenants. We have had experience of a professionally decorated property being ' painted'...

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ajay
ajay 21 Mar 2017

How is the "robust evidence" looking now?

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NathanG
NathanG 20 Mar 2017

I've been watching the series so far and am completely baffled by the cases that were presented. Though, I don't think that we can protect ourselves from every scam possible - it will just make the scammers...

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Landlady14
Landlady14 01 Mar 2017

You would think so Niraj Shah! My experience only proves that there are varying qualitiers of professional in all aspects of property letting. None of the ones I have dealt with, from letting agents to...

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Mark
Mark 01 Mar 2017

Thanks for this article. Hopefully one day everybody's lifestyle will be eco-sustainable.

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Ben Taylor
Ben Taylor 28 Feb 2017

I was convinced that London was the most expensive!

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Alan Read
Alan Read 28 Feb 2017

Australia are leading the way in this I think. The trouble with Britain is we don't get enough sun to make use of solar power.

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James Powell
James Powell 27 Feb 2017

This is a very good news.

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DanHumphreys
DanHumphreys 27 Feb 2017

It sounds like a good idea. Anything to help the younger generation get a foothold.

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Matt
Matt 20 Feb 2017

Is this fake news?

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Matthew Hollywood
Matthew Hollywood 07 Feb 2017

Matthew Hollywood - Director Mishon Mackay Land & New Homes - Brighton The shortage of New Homes is in part effected by the lack of land sales. Land sales are held back because there is a disparity between...

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CommercialTrust
CommercialTrust 30 Jan 2017

Hi Graham, Would be interesting to see the above figure calculated against an investment via a Lt Company /SPV structure and if the investor found themselves pushed in to the higher tax bracket. Mortgage...

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