Buy to Let Mortgages

• Easy to use Buy to Let calculator
• Loan amount based on rental income only.

*Maximum LTV.

• All arrangement fees may be added to the loan (with the exception of any up front, non refundable, booking fee. Applicable on products with free standard valuation, free standard legals, or cashback options).
• Interest will be charged.
• Minimum % arrangement fee £595

Free standard valuation and free standard legals or cashback products

† Products available through TMW Online. Only available for single property applications. For exceptions please refer to TMW rate guide. Please see our Lending Criteria page for full terms and conditions and a list of non-standard legal fees your client may have to pay.

First Time Landlords

Buy to Let new business products are available for the first time landlords (for purchase only), classified as applicants who have not owned and let a buy to let property for the last six months.

Subject to:

• Max 75% LTV (customers purchasing over 65% LTV must choose from the First Time Landlord range).
• First time landlords must be owner occupiers (with or without a mortgage)
• The applicant(s) must have owned their residential property for at least 6 months at the time of application
• Loan purpose: to purchase a new buy to let property

(First time landlords, classified as applicants who have not owned and let a buy to let property for the last six months, customers remortgaging their existing residential property as a buy to let must choose from the Let to Buy product range).

Please Note:First Time Landlords remortgaging an additional residential property as Buy to Let (for example; inherited property) are not accepted.

Buy to Let Light Refurbishment

Classified as a Buy to Let rental property which will benefit from minor improvements to be carried out within 3 months of completion and prior to letting.

Initial advance
Up to 70% of the property value or purchase price (whichever is lower) will be advanced.

Retention
The retention amount will be held, once works are completed 70% of the after works value to a maximum of £25k can be released, subject to successful re-inspection by the original valuer at a cost of £100 (taken from the original release of funds) and payable by the customer.

• Minimum Retention - £2,000
• Maximum Retention - £25,000

TMW reserves the right to withhold the retention amount if the works have not been carried out within 3 months.

Valuation
Will be completed in the first instance and value will be assessed on current and after works basis.

First Time Landlords

Buy to Let Light Refurbishment new business products are available for the first time landlords (for purchase only), classified as applicants who have not owned and let a buy to let property for the last six months.

Subject to:

• Max 65% LTV (of after works value)
• First time landlords must be owner occupiers (with or without a mortgage)
• The applicant(s) must have owned their residential property for at least 6 months at the time of application
• Loan purpose: to purchase a new buy to let property

Houses in Multiple Occupation

• Max 65% LTV
• All let properties will be subject to an Assured Shorthold Tenancy agreement of a minimum of 6 months, maximum of 12 months. Single and multiple tenancy agreements will be accepted (multiple tenancy agreements - maximum 4 tenants).
• Property must only have 1 kitchen.
• Specialist Security valuation will be required, application fee of £150 applies.
• Only available via paper applications.
• Let to Buy, Limited Company, and Light Refurbishment applications not accepted.
• BTL HMOs are not available to First Time Landlords.

TMW classes the following properties as HMOs:

• Occupied by 5 persons or more and comprising 3 or more households (being unrelated persons).
• Any other property subject to HMO licensing.
• HMOs must have no more than 4 habitable storeys.
• Properties consisting of more than one self-contained unit under a single title are not acceptable.

Rental Cover

• Rental cover 150%
• Rental income for properties classed as HMOs will be assessed on a multi-tenanted basis up to 65% LTV.

Switch to Fix Option

Switch to Fix option allows a customer to switch to a new business fixed rate, within the same product range, at any time during the benefit period without incurring Early Repayment Charges. Only available for non-regulated Buy to Let Tracker products.

Other Information

• All products available as interest only, capital repayment, or a combination of the two.
• 10% capital repayment allowance per annum with no early repayment charge on all products.
• Where fees are added to the loan, interest will be charged.
• Interest charged monthly.

Should a multiple property landlord wish to purchase or remortgage a single property to The Mortgage Works, the evidence of portfolio ownership is required (e.g. completion statement combined with a current rental agreement).

Loan To Value Limits (purchase or remortgage)

80% for loans up to £350,000 (unless otherwise stated)
65% for loans up to £1,000,000 (unless otherwise stated)
50% for loans up to £1,500,000 (unless otherwise stated)

Maximum overall borrowing per customer: 80% LTV: £1,500,000, 65% LTV: £5,000,000 (N.B. Portfolios held with TMW prior to 21st March 2008 are not affected).

Rental Cover

All Products: 125% (HMO's 150%)

• Fixed Rates up to and including 75% LTV: Based on product pay rate or 4.99%, whichever is higher
• Fixed Rates above 75% LTV: Based on product pay rate or 5.99%, whichever is higher
• Tracker Rates: Based on product pay rate plus 0.50% or 4.99%, whichever is higher
• Variable Rates: Based on product pay rate plus 0.50% or 4.99%, whichever is higher

Foreign Nationals

Foreign nationals must have been resident in the UK for at least three years prior to application and must have a permanent right to reside. Foreign nationals must have a UK bank account.

Others

Minimum loan for new business is £25,001. Minimum loan for further advances is £2,500. The minimum property value is £50,000. (Unless otherwise stated).