Santander improves its buy-to-let mortgage rental calculation

by Aaron Strutt

Sep 05 2019

Santander for Intermediaries has made some positive changes to its buy-to-let rental calculator making it easier for landlords to secure more generous mortgages.

The bank has made a range of changes to the affordability calculation it uses to generate the mortgage loan size for buy-to-let remortgages where landlords are doing like-for-like remortgages without capital raising from. This means that it is possible to borrow £346,000 rather than £276,000 if a client is a lower rate taxpayer and the property generates £1,500 rental income per month.

Aaron Strutt, product director at Trinity Financial, says: "The lenders are still improving their buy-to-let rates and stress tests to make them more accessible. Santander’s latest change makes it one of the most attractive lenders for landlords who are stuck with their existing lender and unable to remortgage because their property does not generate enough rent.

"Landlords will need a minimum income of £25,000 to qualify for Santander’s mortgages and they will need to own another property. Earlier this year Santander increased the maximum age to 85 years at the end of term and increased its maximum term to 40 years."

Cheap buy-to-let rates

Santander is offering some incredibly cheap two and five-year fixed rates. The cheapest rate is below 1.40% and the five-year fix is below 2%. Both rates have £1,499 arrangement fees, the maximum loan size is £750,000 and applicants will need a 40% deposit.

Call Trinity Financial on 020 7016 0790 to secure a buy-to-let mortgage or book a consultation