CHL updates criteria and joins Knowledge Bank platform
CHL Mortgages has announced changes to its specialist buy-to-let (BTL) criteria, and has added its criteria to the Knowledge Bank platform.
Enhancements to its BTL lending criteria include that inter-company loan deposits from connected parties now being accepted, and its high or additional rate taxpayer ICR being reduced from 145% to 140%.
As well as this, development exposure limits in any block have been increased to blocks of up to six units up to a maximum of six units per block, blocks of seven to 20 units now have a maximum of 10 units per block, and blocks of more than 20 units have the highest of 10 units or 20% per block.
In addition to these criteria changes, CHL Mortgages’ specialist buy-to-let criteria is now live on Knowledge Bank.
Ross Turrell, commercial director, CHL Mortgages, said: “The response to our return to the specialist BTL market has been overwhelmingly positive and following feedback from our initial distribution partners, we are making these improvements to lending policy in order to attract more buy-to-let customers.
“In particular, we know the change to accept inter-company loan deposits will make a lot more limited company cases viable and these changes demonstrate our willingness to adapt according to customer and broker needs.
“Our launch with Knowledge Bank represents a logical step in our plan to engage with the intermediary community in a sensible, structured and comprehensive manner.
“Knowledge Bank has firmly cemented its status as the place for intermediaries to source all relevant criteria-related information and this will prove to be a valuable outlet in our overall distribution strategy.”
Matthew Corker, operations director of Knowledge Bank, added: “It’s been great to see CHL Mortgages return to the specialist buy-to-let arena in recent months and expand their distribution to reach a wider number of brokers.
“Whilst working closely with the CHL team over these last few weeks, it’s clear to see the level of knowledge and experience they have, covering some of the more specialist market niches such as HMO/MUFB and products for portfolio landlords.
“I have no doubt they will be well searched on our platform and a valuable addition to our users.”