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First-time landlords | Accord Accept First-time Landlords

First-time landlords

 

A significant policy shift has been made to make the Buy-to-Let (BTL) market accessible for first-time landlords. One notable change is accepting first-time landlords, once seen as high-risk due to inexperience. This step encourages new entrants into the rental property market.

This move offers opportunities for aspiring landlords and property investors. It injects fresh perspectives into the sector, leading to diverse and innovative property management approaches.

Moreover, removing minimum income requirements changes traditional BTL mortgage lending criteria. It makes participation more feasible for first-time landlords and a broader range of investors. This adjustment recognises that income levels alone don’t reflect one’s property management ability.

Eliminating this barrier allows individuals with various financial profiles to join the BTL market. This inclusion promotes a more dynamic and competitive landscape.

What does that mean to the buy-to-let market?

While these changes come with challenges and risks, they ensure proper due diligence. They assess the suitability of first-time landlords. This commitment fosters a more inclusive and adaptable Buy-to-Let market. It evolves with the changing needs of investors and tenants.

However, income will still be verified in specific circumstances. For instance, verification is needed where top slicing is used or to validate tax status for lower-rate taxpayers.

Accord will now consider lending to first-time buyers wanting to become landlords. Each case will be evaluated individually. The lender encourages brokers to consult their business development manager. This is advisable if buying a rental property makes sense as a first step on the housing ladder.

The changes grant underwriters more discretion to evaluate cases on merit. This will improve the application process for some brokers and clients. It benefits those who meet Accord’s lending criteria.

Let’s hear from Accord Mortgages

Nicola Alvarez
Nicola Alvarez, senior manager for new propositions at Accord Mortgages

Nicola Alvarez, senior manager for new propositions at Accord Mortgages, stated: “These recent criteria changes show our dedication to enhancing our buy-to-let proposition. This aims to simplify business for brokers and their landlord clients.

Moreover, by removing minimum income requirements, we are promoting accessibility. This change benefits first-time buyers aspiring to become landlords, demonstrating our sensible lending approach. Consequently, we can broaden our offering to brokers.

Ultimately, this support aims to help more people climb the property ladder. Additionally, these updates reflect our commitment to making property investment straightforward and accessible for everyone involved.”

The role Connect plays as a mortgage network

 

As a dedicated mortgage network, we aim to support our advisers. This is crucial for advising clients entering the investment market as first-time landlords. We offer comprehensive guidance to help achieve their business goals.

We uphold a commitment to excellence. Thus, we transcend the conventional role of a service provider. We become your trusted ally in finding perfect products for your clients, including first-time landlords.

Our network stands ready to provide expert counsel. We foster growth and offer a wealth of resources. These empower our advisers throughout each phase of the mortgage origination process.

Your triumph is our utmost priority. We are dedicated to offering an extensive array of lenders. This includes prominent options like Accord Mortgages, catering to the needs of “First-Time Landlords.”

Additionally, we are committed to providing exceptional service and expertise. We ensure a seamless experience in the ever-evolving landscape of mortgage services.

 

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