Woolwich alters BTL policy
The revised proposition consists of 85 per cent LTV for both new borrowing up to £500,000, 75 per cent LTV up to £1 million, and 70 per cent LTV up to £2.5 million.
Non-UK residents continue to be subject to a restricted LTV of 65 per cent.
Current split-tiered requirements have been replaced with a single rental cover calculation of 130 per cent for all individual loans from £35,000 to £2.5 million.
Other changes mean customers will now be able to apply/ hold Woolwich’s BTL mortgages in multiple combinations of private names and borrowing vehicles subject to the overall aggregate borrowing limit for any individual customers not exceeding £5 million.
It has also introduced the acceptance of Limited Liability Partnerships (LLPs) as a borrowing vehicle. These are available under similar policy criteria, which is extended to Special Purpose Vehicle Limited Companies. LLPs are UK-registered partnerships where the liability of individual partners is limited to a specified amount.
David Finlay, intermediary business director at the Woolwich, said: “We are pleased to announce that in response to intermediary feedback we have made a number of changes to our BTL policy.”
Rod Murdison, proprietor at Murdison & Browning, said: “The Woolwich has always been there, or there abouts, product-wise. These changes are a positive step but I’ve
also found its charges to be quite hefty and service to be inconsistent. Even though the BTL market is not as attractive as it was to new entrants I still expect it to remain strong through the long-term professional landlords.”