In a market where lender criteria are often treated as immovable rules, it’s easy to forget that not every case fits an exact checklist. But what happens when you come across a client who ticks every box financially, except for the ones that typically matter to most lenders?
One broker faced that scenario recently, as their client, a high-earning professional, was looking to purchase his first investment property - a fully licensed seven-bedroom HMO in the West. On paper, the case looked promising in terms of the applicant having a clean credit history, annual income exceeding £1 million, and a clear plan for professional property management.
The catch?
He was both a first-time buyer and a first-time landlord.
In most cases, that combination would be a deal breaker, especially when the property in question is considered as a ‘larger’ HMO. Many lenders view prior experience and homeownership as essential when assessing more complex asset types. However, there are specialist lenders in the complex buy to let space who have the appetite and the flexibility to look beyond the more traditional criteria boxes.
As you may have guessed, this was a real case that landed on our underwriting desk. The client was purchasing the property for £660,000 and seeking a 75% LTV mortgage. With strong rental demand in the area and rising yields in shared accommodation, the opportunity was there. Despite this, the dual first-time status would have ruled the case out with many lenders before it even reached underwriting.
That’s where the value of broker-lender relationships really comes into play. In this particular case, we had worked with the broker previously, so they knew that rather than dismiss the application on criteria alone, we’d assess the applicant’s profile holistically - weighing income, credit conduct, and investment rationale alongside the headline facts.
The result?
The case was completed using a specialist HMO product.
What this case illustrates is a wider point about the direction of specialist lending and the role brokers are playing in shaping it. As more high net worth individuals and professionals look to diversify into property, traditional buy to let criteria do not always apply. Experience and ownership history still matter, but they shouldn’t override sound financial fundamentals and a clear plan.
Lenders that assess cases manually, rather than relying solely on automated decisioning, are better placed to make these calls. And that presents an opportunity for brokers to add tangible value by guiding clients through lenders’ nuance, not just their product sheets.
For brokers, the message is simple - when you’ve got a case that makes sense on paper but hits a wall on policy, don’t walk away. Pick up the phone. Specialist lenders are more willing than ever to take a view, especially on HMO cases where rental returns, tenant demand, and long-term investment rationale stack up.
It’s a reminder that product flexibility and underwriting expertise can often be the difference between a lost lead and a loyal landlord client.
