Vida Mortgage has just made it easier and cheaper to get a buy-to-let mortgage.
They’ve slashed rates on their existing range, launched a brand new set of products, and made it easier for people with less-than-perfect credit to get a loan.
Lower Rates and New Products
Vida has cut rates across their buy-to-let range by up to 0.35%! That means you could be saving a chunk of money on your monthly repayments. They’ve also launched some brand new ‘limited edition’ products, designed specifically for landlords with individual dwellings or for HMOs (Houses in Multiple Occupation) or multi-unit blocks. These two-year fixed-rate mortgages come with a minimum loan of £200,000 and a fixed fee of £4,995.
These new products are perfect for both first-time landlords and those with existing portfolios, and are available for both individual landlords and limited company SPVs (Special Purpose Vehicles).
No Minimum Income, Specialist Properties and More
Vida’s buy-to-let criteria is very flexible, with no minimum income requirement and the ability to borrow for specialist properties, like flats above or next to commercial units. They’re also happy to consider properties that might not fit the usual lending criteria, giving you more options.
Vida’s Interest Cover Ratio (ICR) is 125% for basic rate taxpayers and SPVs, and 140% for higher rate taxpayers. This is a key factor for lenders, and Vida’s generous ICR shows they’re willing to work with landlords.
A Second Chance for Landlords with “Credit Blips”
Vida is now ignoring any defaults or CCJs (County Court Judgements) under £250 when assessing creditworthiness. This is a huge deal for anyone who has a small, historic credit issue. It means you’re not automatically disqualified for a mortgage, which is a real game-changer for many landlords.
Helen Cawthra, head of intermediary relationships at Vida, said:
“These new rate reductions will help our partners to help more of their customers to secure their specialist mortgage at a lower rate. The new limited editions will allow a variety of landlords to access products with a lower rate that suits their specialist requirements, with the flexibility of a two-year fix and lower monthly payment for improved stress-testing.
“Additionally, by disregarding any defaults or CCJs under £250 as part of our credit tiering, we can help those individuals who may have had a small, historic credit blip to get a mortgage and find a place to call home. Intermediaries can contact the V-Hub to discuss any case and take advantage of these rate reductions. With direct access to our specialist experts and underwriters, intermediaries can be confident in our efficient service levels coupled with dedicated support.”