Aldermore pauses HMO/MUF applications
Aldermore Bank has temporarily paused accepting applications on houses of multiple occupancies (HMO)/Multi-Unit Freehold (MUF), as well as properties in poor condition.
As a result of physical valuations becoming difficult, the bank has moved towards remote valuations for owner-occupied properties, and buy-to-let single unit applications.
Additionally, in line with the Bank of England reducing the base rate from 0.75% to 0.10%, Aldermore has decreased its variable rate by 0.65%, from 5.23% to 4.58%.
This decreased rate will be available from 1 May.
Furthermore, the bank highlights that it is providing a three-month extension to any borrowers who have exchanged contracts but are having to delay moving home due to government advice.
A spokesperson for Aldermore Bank, said: “We are continuing to process applications under a case-by-case basis, and our human approach to underwriting has not changed.
“We have asked brokers, from an affordability point-of view, to understand the impact COVID-19 may have on an applicant’s current situation and to judge if there is a likelihood this may change, alongside establishing if there has been any material changes to income since a Decision in Principle (DIP) submission.”