The Leek Construction Association has strengthened its loan policy.
These changes are intended to expand support for a broader borrower profile and further strengthen relationships with intermediary partners.
Starting September 1, there will be no minimum income requirements for Purchase Application (BTL) applications to support experienced landlords and investors. The only exception is the home-regulated BTL.
The association also lowers the stress test rate on all its BTL mortgages, including holiday LET, to make it more closely aligned with the wage rate for each product.
Leek will now also consider evaluating the salary and net profit of the directors who are more than 25% of the shares when evaluating the revenue.
Additionally, it has lifted the loan-to-value (LTV) limit for applicants on the zero-hour contract and has two years of ongoing earnings to expand acceptance.
“We are committed to continuously evolving lending policies to meet the ever-changing needs of brokers and their clients. These latest changes are a direct response to broker feedback and reflect our continued focus on being a flexible, accessible lender in a competitive market.”
