"We have been working hard to simplify our buy-to-let approach and have listened to feedback from brokers and our staff on where we could improve."
NatWest is changing the way it assesses affordability and how much a customer can borrow, while also making it easier for a buy-to-let remortgage customer to make a like-for-like application.
As part of the changes, the bank is introducing two new simplified indication calculators - one for small landlords and like-for-like remortgages, and the other for portfolio landlords and first-time landlords.
NatWest is also offering a lower stress rate of 4.5% for five-year products and like-for-like remortgages, with two maximum lend options shown on its calculator. It is also removing the LTI cap for small landlord and like-for-like applications, meaning the maximum lend will be based on the subject property’s rental and the client's tax band.
For small landlords and like-for-like applications, brokers can select the client’s tax band for assessment, no proof of income is required on submission and the application will proceed through a reduced underwriting process.
Luke Christodoulides, head of corporate accounts at NatWest Intermediary Solutions, said: “We have been working hard to simplify our buy-to-let approach and have listened to feedback from brokers and our staff on where we could improve. I’m delighted we’re making these improvements to our proposition and believe this underlines our support to the buy-to-let market.”
