Skipton adjusts buy-to-let mortgage criteria

The Skipton Building Society has adjusted the criteria governing its lending of buy-to-let mortgages and claimed that the changes will make it easier for landlords to expand their property portfolios.

Among the key changes is an increase in the loan-to-value ratio from 75 per cent to 85 per cent for loans up to £500,000.

Rental income cover has been reduced to 110 per cent for all loans, from its previous level of 125 per cent, and the requirement of a minimum income has been removed.

It has previously been necessary for landlords with more than ten properties to take a commercial buy-to-let mortgage product, but Skipton has now made residential packages available for any number of properties to a maximum value of £3 million.

According to Colin Dale, head of lending at Skipton, the changes have been made to make it easier for buy-to-let landlords to navigate the market.

"A lot of these changes are about making it much more flexible for landlords to finance the properties they want, using the competitive mortgage deals Skipton offers, so they can get the best returns possible on their investment," Mr Dale said.

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