The Nottingham loosens buy-to-let criteria

Nottingham Building Society is looking to attract more buy-to-let business after loosening criteria.

The Nottingham has lowered its interest coverage ratio from 5.50% to 3.35% for limited company products spanning five years, while for standard products it’s been reduced from 3.95% to 3.45%.

The interest cover ratio has been reduced from 165% to 145%, while the minimum LTV for lending on flats has been raised from 65% to 75%.

There is now no minimum income requirement, and the society no longer requires to see last month’s personal and business bank statements.

Finally all covid criteria has been removed.

Christie Cook, The Nottingham’s head of mortgage product, said: “We’re delighted to bring such positive criteria changes to life, and believe they will make placing buy-to-let and limited company buy-to-let cases with us more accessible and cohesive for brokers than ever before.

“In turn, it’s a major positive for their customers and is the latest step in us highlighting our ongoing commitment to providing competitive and fit-for-purpose products, services and processes in the BTL space.”

The Mansfield

The nearby Mansfield Building Society has also made some changes to its buy-to-let criteria.

The society has reduced the minimum age for applicants to 21 and can now accept first-time landlords.

Meanwhile the maximum LTVs on some products have been raised from 75% to 80%.

Tom Denman-Molloy, intermediary sales manager at The Mansfield, said: “These changes to our buy-to-let and residential criteria highlight our increasing lending appetite. Mansfield Building Society takes an individual approach to underwriting and we embrace diverse circumstances as much as possible. These enhancements to criteria and an increase in maximum LTV for buy-to-let mean we will consider even more applications and help brokers find solutions for their clients with our versatile lending approach.

“We anticipate increased demand for our products following these changes and brokers can expect further updates to our offering over the coming weeks.”

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