Metro Bank has announced it is changing its criteria for buy-to-let (BTL) lending.

The lender suggested the move is designed to make the bank a more specialist lender to support a growing number of customers.

The bank has reduced its stress test rate on five-year BTL mortgages, from 5.5% to 4.5%, given the longer-term nature of the product, while the maximum age for a BTL applicant at the end of their term has been increased from 80 to 85.

Metro Bank indicated that it had made this decision to assist more borrowers who may want to continue using a BTL property to help with their retirement planning.

“This is an important first step on our specialist mortgages journey,” said Metro Bank director of mortgage distribution, Charles Morley.

“Our BTL range is now more flexible than ever before with a truly specialist offering that provides the full range of options for borrowers, many of whom are struggling to get a mortgage due to the challenges of the coronavirus pandemic.

“We have plenty more planned over the next 12 months as we embark on our mission to become the UK’s leading specialist mortgage lender, offering products as individual as our customers are.”

Share Story: