HMO Mortgages – no Lender Arrangement Fee – no Early Repayment Charge (ERC) – Low or no Valuation Fees
Homes of multiple occupation - Multi-let - Share House Let
hese are mortgages that provide certain incentives for applicants. Most types of HMO properties are covered by these mortgages, but the best combination of low interest rates and low fees are associated with HMOs with up to 5 letting rooms.
Properties will normally have shared kitchen and bathroom facilities. Multiple bathrooms are allowed, but some lenders will not lend for properties with more than 1x kitchen. Some of the most attractive mortgages are for properties with up to 5 letting rooms. However, HMO mortgages with incentives are available up to 85% of property purchase price (or property value for remortgages). Interest only is available and applicants do not need letting experience with some of these lenders
For applicants looking to minimise the cost of arranging an HMO mortgage, for purchase or remortgage and capital raising. For applicants who may be looking to sell their property and who do not want to pay an early repayment charge. For applicants who do not want fees added to their mortgage.
- Products with no lender arrangement fee
- Products with no early repayment charge (ERC)
- Products with reduced or no valuation fees
Applicants should be owner occupiers and be able to demonstrate good personal income. A clean credit history is required.
- UK citizen with passport or UK driving licence as ID
- Evidence of deposit funds ( Bank statement )
- Proof of income; employed, self employed or pension
- Clean credit history
- Some minor and historic adverse credit can be considered
- Applicants can be employed, self employed, or retired
- UK Bank account holder
- Previous letting experience
Types of property
Properties with up to 20x letting rooms are acceptable. Properties arranged in up to 20x flats, studios and or bedsits in one freehold or leasehold title, are also acceptable. Properties above some commercial premises may be acceptable. Tenants can be students, or working professionals.
- Houses of Multiple Occupation (HMO)
- Tenants can be students, or working professionals
- HMO's arranged as flats in one title
- Single AST and multiple AST tenancy agreements accepted
- Property in England, Scotland & Wales and Northern Ireland
- Properties with or without an HMO Licence
- Accommodation above commercial premises considered
- En-suite facilities in rooms are accepted
- Cooking facilities in rooms accepted
- Shared kitchen and bathroom facilities accepted
- HMOs with up to 20 letting units accepted
- Mixed unit accommodation of flats, studios, bedsits not exceeding 20 units within title
- Properties arranged as flats, studios or bedsits
General Lending Criteria
Mortgages are available up to 85% of purchase price, or property value. Lending in England, Scotland, Wales & Northern Ireland
HMO-2 – Maximum 75% LTV. No early repayment charge. No lender fee.
HMO-4-75 – Maximum 75% LTV. No early repayment charge.
HMO-4-80 – Maximum 80% LTV. No early repayment charge.
HMO-6-85 – Maximum 85% LTV. No early repayment charge.
HMO-7 – Maximum 70% LTV. No early repayment charge
HMO-9 – Maximum 70% LTV. No arrangement fee. £335 off valuation fees. No early repayment charge. Lends in all areas of the UK.
- Purchases or Remortgage
- Interest only Or Capital + Interest Repayment
- Properties located in England, Wales, Scotland accepted
- Properties in Northern Ireland accepted
Residential Multi-let Investment
Contact us on 0117 223250 to discuss your requirements with a Buy To Let mortgage specialist
Mortgage Application Assistance
We can even complete the mortgage application on your behalf. The mortgage adviser can help you complete the application over the phone or email.
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