Britannia Building Society’s intermediary mortgage lender has launched an innovative buy-to-let mortgage.
Platform is now offering a self-certification buy-to-let mortgage that does not use rental income as a consideration for assessing repayment capability.
The House Plus mortgage applicant mortgages will only need to certify that their income will be sufficient to cover repayment of both the buy-to-let mortgage and their residential mortgage.
Stephen Leonard, director of mortgages at Alliance &Leicester, explained why demand for the mortgage product was likely to remain robust in future.
„With increasing numbers of professional mortgages landlords and the majority expecting to stay in the market for more than ten years, buy-to-let is likely to remain an important part of the overall housing market,” he said.
Investors who buy properties to rent out can typically accumulate money through two main sources.
Firstly, they can receive a steady income from the tenant’s rent, while simultaneously benefitting from capital appreciation of the property itself as a result of rising house prices.