Kensington Mortgages – Returns to Buy to Let Lending

Kensington Return to BTL Lending – great news for experienced and first time Landlords

Kensington Mortgage Company have dipped their toe back into the Buy To Let mortgage lending field. Kensington withdrew from the market in 2011 but did commit to returning. This is another small step in the right direction and a positive sign for the market in general.

Kensington products are likely to suit a wide range of Buy To Let investors, both first time and seasoned investors. Key points of their criteria are:

  • No maximum number of investment properties. Many lenders in the BTL mortgage market will only lend to someone with no more than a certain amount of BTL mortgages. For example, some lenders will not consider a new application where the current portfolio size is three buy to let mortgages, others have a limit of 5 and by the time you get to someone with a portfolio of 10 – most lenders are taken out of the market. Although Kensington limit the total number of mortgages an investor can have with them to 6, they hold no restriction on how many mortgages are held with other lenders. Making Kensington a viable prospect for an investor with a larger portfolio.
  • First time landlords are also accepted, however, a first time landlord must have a residential mortgage.
  • Although there is a minimum income of £25,000 for non-professional landlords, Kensington consider someone with 4 or more BTL properties to be a professional landlord and as such do not have a minimum income requirement.
  • The current range of products run from 70% – 80% loan to value. With a limited number of lenders offering mortgages at BTL at 80%, Kensington again are worth considering.
  • The maximum available on new build flats is limited to 75%, this again is a good LTV, as many other lenders restrict the loan to value on BTL flats even further than this.  (It should be noted that minimum valuation of £125,000 applies for new build flats).

If you are currently looking for a BTL purchase mortgage or remortgage, contact the team at Harvey Bowes today to discuss your requirements. Contact us on 029 2115 6918

Your property may be repossessed if you do not keep up repayments on your mortgage

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About harveybowes
Mortgage Broker and founding Director of Harvey Bowes Limited. A mortgage broking practice with bases in Cardiff & Poole, UK. We take a fresh and positive approach to mortgage broking which pays dividends for both our clients and frankly, ourselves. The team at Harvey Bowes are expert advisors in all aspects of mortgages from residential to commercial and buy to let.

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