Examples of an MUFB include a block of flats or a row of terrace housing. Often, these types of properties have been purpose built and never legally split.
Mortgages are available for refinancing or for purchasing new properties.
Affordability and repayment
The affordability of the loan is based primarily on the rental income the property generates (or will generate if currently empty). Top slicing is available, meaning surplus personal income can be factored in to the affordability assessment.
Repayment structures are typically interest only.
Ownership Structures
We have access to products for professional landlords and first-time landlords.
Acceptable customer types include: Sole Trader, Partnership, Limited Company (Ltd) or Limited Liability Partnership (LLP).
Loan terms and lending criteria
As with HMO Buy To Lets, expect loan to values (LTVs) to be capped at 75%. For larger properties, more bespoke financing is available. MUFB Buy To Let mortgages are offered subject to valuation and completion of security. It is vitally important the valuer assess the property under an investment valuation.
Pricing and fees
Pricing of these facilities can vary greatly, and it is often linked to the loan to value (LTV), loan amount and credit quality of the borrower. An arrangement fee of up to 5% is payable and can be added on to the loan.
