Inform 17th February 2023

e.surv Chartered Surveyors

Green Watch newsletter

Here is the latest edition of e.surv Chartered Surveyors‘s Green Watch Newsletter from Corrina Jones MRICS. In this edition she shares a round-up of stories and guidance on energy efficiency and sustainable practices.

In this month’s issue:

• Net zero review
• Energy efficiency and the property market
• EPC data snapshot
• Buy to Let market
• New homes
• Retrofitting
• Green mortgages
• Renewable technology
• Green business
• Climate news

Click here to download and read the latest issue of Green Watch – https://hubs.ly/Q01CybPc0

Kensington Mortgages

FIRST TIME BUYERS: THE CHALLENGES AND THE MARKET AHEAD

Last year certainly brought some turbulence to our mortgage industry; from record inflation, a cost of living crisis and a revolving door at No 10. The mainstream media were quick to report on rising interest rates and the drop in buyer demand, however since the start of 2023 we have begun to see things change, particularly for the first time buyer market.

The first steps onto the property ladder have always come with its challenges, but last year brought more complication to the first time buyer customer group. With the end of Help to Buy, an overwhelmed purchase market and interest rate volatility, it was understandable why the first time buyer share of the market fell towards the end of 2022.

Read the full article here.

Mansfield Building Society

Standing up for complex needs in testing times.

The last few months have been a rocky one for the mortgage market. The Liz Truss Government’s mini Budget sent shockwaves through the financial markets, and it has led to effectively the entire market repricing their mortgage deals at a much higher level than was the case just a few weeks prior.

There remain an awful lot of borrowers in a difficult position following this market turmoil. We know that significant numbers of homeowners have fixed rate deals coming to an end during 2023 who face a mortgage market in a markedly different position than when they took out their initial mortgage deal.

Read the full article here.

Impact Specialist Finance

Don’t miss out on limited edition buy to let mortgages

Precise Mortgages has updated their limited edition range of buy to let mortgages which feature a Lifetime tracker, along with 2 and 5 year fixed rates up to 75% LTV. The products feature options for personal ownership and limited company landlords, including HMOs.

Criteria Highlights Include:

• Top slicing: Available across their entire buy to let product range
• Portfolio Landlords: Up to 20 properties to a total value of £10M, no limit on the number or value held with other lenders
• 5 Year fixed: Affordability assessed at pay rate
• Limited Company Landlords: No limit the number of director dependant shareholders under age of 21

Download the latest product guide:
Take a closer look at Precise Mortgages Limited Edition Buy to Let product guide, available now through Impact Packaging today. Impact offers a 0.50% proc fee where the broker is advising.

Have a case you would like to discuss? Call the impact packaging team now on 01403 272625

Suffolk Building Society

Important changes to criteria

Income

1. Day rate contractor income accepted

We’ll accept day rate contractor income as standard, helping to increase the amount of income we can use towards affordability.

Accepted across all lending areas (including Self Build) except for Expat.

2. Retirement age for using income extended to age 75 for all income types (except employed manual roles).

We’re now including non-manual employed income up to age 75, helping with longer mortgage terms for Later Life customers. Employed manual income remains at age 70. Self employed applicants are accepted up to age 75 (whether manual or non-manual).

Property

3. Agricultural Restrictions on properties accepted up to 50% LTV

We’re accepting cases where the property has agricultural restrictions.

This will be subject to valuer comments on mortgageability and saleability. The applicant must comply with the terms of the restriction(s).

4. Residential homes with an annexe used for short-term letting accepted up to 80% LTV

Perfect for clients living in a good holiday let location who wish to rent their annexe on a short-term let basis on AirBnB or similar sites.

Subject to valuer comments. Annexe can only be used for holiday letting/AirBnB type lets i.e. no tenancy agreement in place. Annexe must not have own utilities/council tax.

Expat

5. No minimum time back in the UK for returning expats

Returning expats will be able to apply for a mortgage with no minimum time in the UK required before application.

Evidence of income for affordability will be required (employed/retired applicants accepted).

6. Expat Buy to Let for First Time Buyers

Perfect for expats who are working and residing abroad who wish to purchase a rental property in the UK and have not owned a property before.

Other

7. No maximum age on Interest Only

There are now no restrictions on max age at the end of term on interest only applications (same as C&I).

Please note max LTV 50% and a minimum equity of £200k where sale of property is the repayment vehicle.

8. First Time Buyers Buy to Let now accepted in England & Wales

We’re removing the need for an applicant to be a homeowner prior to owning a BTL property. Full BTL criteria (ICR & minimum income etc) will apply. Affordability will be carried out as an additional assessment.

9. Removal of limit of 10 Buy to Lets in the background for Residential applications

There is now no limit on the number of properties owned for portfolio landlords who wish to purchase/remortgage their own residential property.

We will evidence the background properties are self-financing by requesting for the latest tax calculations (evidencing land and property income).

10. Non-UK national accepted on a joint application

For a joint application where only one applicant is a UK national, their partner can now be named on the mortgage. However, the mortgage must be affordable using the UK national applicant’s income only.

Legal & General

February Focus Fortnight

Broaden your knowledge of the protection, guaranteed income, and later life lending markets

20 February – 3 March | 1.30pm. Live lunchtime webinars presented every weekday by leading experts from across our business. Each 30-minute webinar will count towards your CPD hours.

The sessions are designed to help you:

• Identify and overcome barriers to entering new advice areas
• Find new ways to achieve your client’s future financial plans
• Understand how we can support your protection, guaranteed income, and later life lending advice business

Find out more about each of the sessions and register on our website.

Register now

Aria Finance

Second Charges

If a remortgage isn’t suitable, or a further advance isn’t an option – could a 2nd change mortgage be viable?

Finding more about your client’s financial situation and getting to know what’s going on in their personal and professional life. Once you do this you can get a more complete picture of where you can offer advice and where they might benefit from a second charge mortgage.

When you may use a Second Charge:

1. Debt consolidation – could pay-off a loan/credit cards which may be at higher rate of interest
2. Paying an unexpected and large tax bill
3. Purchasing a property – release equity from their property to help fund the purchase of another
4. Home improvements –
5. Family loan – Bank of Mum and Dad; providing loans to family members
6. Wedding – Can help fund a wedding, or other large life event

By speaking with clients, and understanding their needs a second charge mortgage may help them solve a dilemma. For more click here.

Contact Aria Finance now for further information:
Call us on – 020 3839 9998
Send us an email – info@ariafinance.co.uk

Lendinvest

The opportunity bridging finance offers in a regenerating North West

Regional BDM Waqar Khan looks at what bridging finance will bring to the North West, an area important to the government’s levelling up agenda and attracting more and more investment.

Find out more here.

Livemore

Why LiveMore are the go-to partner for 50-90+ cases

LiveMore products are designed specifically for your 50-90+ clients. Here are some unique ways LiveMore can help when property or incomes make a case tricky.

Incomes

• Using foreign income to support affordability
• Using rental income from BTL properties for affordability purposes
• Accepting benefits and foster care income

Property

• Retirement homes considered up to 40% LTV
• New build properties accepted
• Proximity to commercial premises considered (subject to valuer’s comments)

Sound helpful for a case you’re working on? LiveMore welcome extensive kinds of income and property, so get in touch to discuss. You can do that by clicking here.

Paymentshield

HELPING YOUR CLIENTS IN BAD WEATHER

With bad weather warnings expected this time of year up and down the UK, now is a really important time to encourage your clients to think about any extra protection their home might need and how to deal with any claims they may have to make. Paymentshield have a variety of resources aimed at helping you when it comes to speaking with your clients on how to protect their home.

Find out more.

Aldermore

Never Miss a Product Switch

With our email switch alerts, you’ll always be the first to know when you’ve got a client to switch.

We’ll let you know around 17 weeks before your clients’ rate is coming to an end. This means you’ll have the first opportunity to contact your client and let them know it’s time to find a new mortgage deal.

Find out more.

The Mortgage Works

We’re extending our rate switch window

Good news, we’ve listened to your feedback and are pleased to let you know that from today, Thursday 16 February, we’re extending our rate switch window.

So, if your client already has a mortgage with TMW, you can now secure a product up to 13 weeks before their existing rate expires.

Plus, for new and existing rate switch applications, you’ll now be able to cancel the application within the Online Mortgage Switcher (OMS) up to 5 days before the product switch completes.

Visit our website for further details.

MPowered

We’ve rebranded!

We’re super excited to be launching our brand new look as of today!

As you know, modernising the mortgage process, has always been our goal. Now, it’s time to modernise our look too.

We’ve summarized our reasons behind our rebrand, if you want to find our more click here.

TBMC

TBMC partners with Quantum Mortgages

TBMC have now partnered with Quantum Mortgages a specialist BTL lender, this means TMA members now have a referral option to use them via TBMC.

TBMC will distribute the entire range of Quantum’s BTL products which includes Single Unit, Green, HMO’s, MUFB’s, Holiday Lets, AirBnB, Expats & Foreign Nationals for both Individuals & Limited Companies.

Click here to find out more.

Market Harborough Building Society

new Head of sales appointed

MHBS are delighted to announce Richard Saunders as their new Head of Sales. Previously at Paragon Banking Group, Richard has 17 years’ experience in the mortgage industry both on the lender side and as a broker. Richard’s appointment follows a highly successful year for MHBS when it achieved a record level of lending and won a Feefo Gold Trusted Service Award for the second year running.

Richard intends to make MHBS the specialist lender of choice for more brokers. He is responsible for the Society’s sales and proposition team who provide quality mortgages for cases that need more than a one-size-fits-all approach.

You can read more about Richard and his plans for MHBS intermediary partners at https://mhbs.co.uk/latest-news/head-of-sales/ or call 01858 412345.