Mortgages for HMO Properties in Northern Ireland
HMO Mortgages Suitable for Properties in Northern Ireland
For HMO’s in Northern Ireland we have a good range of mortgage options available. The property should have no more than 5 letting rooms and the applicant should own a maximum of not more than four existing investment properties in total.
Applicant Profile
Applicants must be homeowners and be existing landlords. A maximum of four investment properties is allowed to be owned by the applicant. No first-time buyers, or first-time landlords. Applicants must be employed or self employed with a minimum personal annual income of £20,000 per annum. A clean credit history is required
- UK citizens with passport or UK driving license as ID
- Evidence of deposit funds ( bank statement )
- Residential address history for 3 Years
- Clean credit history
- Applicants must not be a first time buyer or landlord
- Employed or self employed
- Minimum personal income of £20,000 per annum
Situational Profile
For applicants wishing to buy or remortgage HMO properties situated in Northern Ireland
- Max of 4 investment properties can owned by the applicant
- Property located in Northern Ireland
- HMO or Buy To Let properties with multiple tenants
Types of Property
Properties with up to 5 letting rooms are acceptable, with or without an HMO licence. If the property does not have an HMO licence, or does not require one, then the lender will use a notional rent for a single/family tenancy, but still allow up to 5x tenants to rent the property. Only 1x kitchen is permitted in the property
- Houses of Multiple Occupation (HMO)
- With or without an HMO Licence
- Up to 5 letting rooms
- Allows up to 5 Tenants
- Not more than one kitchen
- Single AST tenancy agreement accepted
- Multiple AST tenancy agreements accepted
General Lending Criteria
Mortgages are available for purchase, or remortgage and up to 70% of purchase price, or property value can be borrowed. Both single AST tenancy agreements and multiple AST tenancy agreements are acceptable. HMO-9 (maximum 70% LTV)will allow up to 5x letting rooms. In order for the lender to use the rents from all tenants to calculate the maximum mortgage, the property must have an HMO licence. If the property does not have an HMO licence, or does not require one, then the lender will use a notional rent for a single/family tenancy, but still allow up to 5x tenants to rent the property. Applicants must be an owner/occupier.
- Mortgage terms up to 40 Years
- Purchases or remortgage
- Interest only or capital + interest repayment
- Full proof of applicants income is required
- Evidence of deposit funds required
- Existing UK property is required
- Maximum LTV (Remortgage) / 70% 70%
- Maximum LTV (Purchase) / 70% 70%