Scottish Widows Bank renovate Buy-To-Let Mortgage

Scottish Widows Bank has announced a number of enhancements to its Buy-to-Let Mortgage including, increased borrowing limits, improved underwriting and reduced rates.

The Bank will now offer up to 80% loan-to-value (LTV) to non-professional applicants and 85% LTV to applicants who qualify for the Bank’s Professional Mortgage.

An improved underwriting process will mean that applicants borrowing up to 70% LTV no longer need to provide bank statements or confirmation of rental cover. Professional applicants borrowing between 70% and 85% LTV will only require confirmation of rental cover.

New interest rates have also been introduced by the Bank, including a base rate tracker at 0.5% above base rate for 2 years.

A further feature will allow the arrangement fee of £595, applicable to all of these rates, to be added to the value of the loan.

Richard Clark, head of product development and marketing at Scottish Widows Bank, commented: “The Buy-to-Let market has gone from strength to strength, highlighted by the latest statistics from the CML reporting strong performance in 2006. Despite the recent rate rises, the buy-to-let market shows no sign of slowing, spurred on by strong rental demand and rising rents.

“With these enhancements we have a competitive Buy-to-Let Mortgage product to offer landlords, both those already in the market and those thinking about buying their first Buy-to-Let property.”

All of the product enhancements will be available to customers either directly with the Bank or through an intermediary.