Buy-to-let policy
Checks and limits for background BTLs depend on whether the application is for a portfolio landlord. A portfolio landlord is someone who will have 4 or more mortgaged properties on completion of the new loan. This includes any BTLs held in an SPV, and for a joint application includes all mortgages whether they’re held together or separately.
Non-portfolio BTL
Maximum with Virgin Money
The maximum number of BTL properties mortgaged with Virgin Money is 5 with the total balance of all mortgages not exceeding £3,000,000.
Maximum portfolio
The maximum number of mortgaged BTL properties a customer can have with all lenders, including the property being mortgaged with us is 3, otherwise they’re classed as a portfolio landlord. This includes any BTLs held in an SPV.
Minimum background rental cover
There are no minimum background rental cover requirements.
Portfolio BTL
Maximum with Virgin Money
The maximum number of BTL properties mortgaged with Virgin Money is 5 with the total balance of all mortgages not exceeding £3,000,000.
Maximum portfolio
The maximum number of mortgaged BTL properties a customer can have with all lenders, including the property being mortgaged with us is 10. This includes any BTLs held in an SPV.
Portfolio tests
The background BTL portfolio must have an aggregate maximum LTV of 75% and cover its mortgage payments by 135% at a stressed interest rate of 5%. This excludes the mortgage being placed with us but includes any other mortgaged or unmortgaged BTLs including where held in an SPV. Additionally, the customer cannot have more than 5 BTLs in the same post code, for example, G2 7ER.