Mortgages for portfolio landlords

Why four properties matters

Since 2017, Bank of England rules (from the Prudential Regulation Authority) mean lenders must underwrite portfolio landlords more thoroughly. Four or more mortgaged buy-to-lets, across all lenders, makes you a portfolio landlord.

What lenders ask for

• A property schedule. Every property: value, mortgage balance, lender, rate, rent and monthly payment.
• An assets and liabilities statement.
• A business plan. Often a page or two: your strategy, how you handle voids and repairs, and your plans for the next few years.
• Cash flow across the portfolio, sometimes with its own stress test.
• Tax returns and accounts, especially for limited companies.

Getting ready

1. Keep the schedule up to date in one spreadsheet. It saves days on every application.
2. Know your fix end dates. Remortgaging several at once can be easier with one lender.
3. Check energy ratings. Minimum EPC rules for rentals are tightening, and some lenders now ask.