Portfolio Landlords
At CPC we have many years of experience sourcing property finance for portfolio landlords. We are confident that whatever your needs are we can help you secure the right funding in a timely manner.Who are portfolio landlords?
The Prudential Regulation Authority (PRA) define a portfolio landlord as a landlord who has four or more mortgaged buy-to-let properties across all lenders in aggregate.
This can include holiday lets, properties owned via a limited company, ‘consent to let’ properties and all buy-to-let mortgages. These could be owned solely or jointly by the applicants.
See our blog for advice on the PRA regulations for BTL mortgages.
Why does it make a difference to be a portfolio landlord?
In September 2017, the PRA brought in buy-to-let rules. These new standards apply regardless of whether the borrower is an individual or company. The PRA now expects that lenders conducting lending to portfolio landlords do so according to a specialist underwriting process that accounts for the complex nature of the borrower and their portfolio of properties.
What does this mean for me?
The PRA expects lenders undertaking buy-to-let lending to have regard to the potential commercial nature of this type of business. The PRA expects lenders to recognise that existing experience and skills acquired in buy-to-let lending do not automatically translate into equivalent skills when assessing portfolio landlords. The specialist underwriting process will assess a range of new factors.
We have been working with CPC for five years. CPC help ease the process of borrowing by finding the right finance to suit our requirements. [They] are always aware of new products from lenders and their time constraints, allowing me to meet my end goals. The benefits of a good broker like CPC is that they enable your business to expand quickly. They allow us to raise capital within tight time periods and help get our business closer to meeting its targets. In addition, since working with [them] we have been able to establish great working relationships with a number of lenders who have greatly enabled us to expand our business.
Malkit Purewal, Property Investor
Buy-to-let mortgages for portfolio landlords
If you own four or more mortgaged UK BTL rental properties, you will be classed as a portfolio landlord in the UK. This will require lenders to test your application against different standards to smaller landlords. It is a more specialist underwriting process that assesses a range of factors.
Make sure you know what this means for your borrowing by visiting our Portfolio Landlord page. If you have over 10 properties in your portfolio as an individual or limited company, it can restrict the number of lenders that will offer products.
HMO’s
If your property is a House of Multiple Occupancy (HMO), you will need specialist HMO finance. Take a look at our HMO Finance page to see if your property qualifies as a HMO and a HMO buy-to-let mortgage is what you need.
Investors looking to take out a buy-to-let mortgage under the name of a limited company should refer to our Limited Companies / Special Purpose Vehicles section.
Get in touch to find out more
+44 (0)1923 655441
investors@cpcfinance.co.uk