Buy-to-let policy
For any additional borrowing requests, affordability will be assessed using a stressed ICR, requiring rental income to cover the actual mortgage payment by a minimum of 145% at the applicable stress rate.
Rental income must be enough to cover the mortgage payment at the minimum stress level, based on the mortgage repayment type.
| Stress rate | Purchase (Porting) or additional borrowing |
|---|---|
| <5 year fixed or variable rate | The higher of 5.5% or pay rate + 2% |
| 5+ year fixed rate | The higher of 4.5% or pay rate + 1% |