Accord Mortgages has increased its maximum loan-to-value (LTV) on buy-to-let (BTL) new-build flats and enhanced its criteria for contractors.
From today (Wednesday 20th September), the intermediary-only lender increased the maximum LTV to 75% for landlords looking to purchase a new-build flat, bringing it in line with criteria for landlords purchasing a new-build house.
Products are available through the lender’s standard buy-to-let range.
Accord also introduced changes to its contractor criteria for both residential and BTL lending, to consider applications from a wider range of borrowers.
For day rate contractors the changes include minimum experience requirements reduced to six months instead of 12.
The lender will also consider income from two contracts instead of one, for loan affordability, where income is sustainable.
For fixed-term contractors, minimum experience required has been reduced to 12 months from 24, and for those employed by an umbrella company, evidence was reduced to three months of payslips or invoices and personal bank statements.
Nicola Alvarez (pictured), senior manager – mortgage distribution at Accord, said: “Increasing our LTV for buy-to-let new build flats demonstrates our support for both the new build and buy-to-let markets.
“This change will help brokers to assist the growing number of landlord clients looking to invest in this kind of property due to the proposed new EPC regulations – as they often come with higher EPC ratings. Renters are also placing increasing value on energy efficiency. “
She added: “Our contractor changes further support our common-sense approach to lending, opening up opportunities for brokers whose clients may be finding it difficult to get the mortgage they need.
“They also make the process easier for brokers, who will have less documentation to submit on these applications.”
