Specialist lender Rely has approved a £160,000 buy-to-let mortgage for a first-time landlord. The loan is for an £865,000 London property near London Bridge, which is projected to generate £2,000 in monthly rental income. This approval follows an initial rejection from another lender.
The previous lender cited concerns about the property's saleability, despite its central London location. The broker involved expressed surprise at this decision, given the low 20% loan-to-value ratio requested for the two-year fixed rate product.
Rely processed the application rapidly, moving from submission to offer within six days. This speed was attributed to their use of a desktop valuation instead of a physical inspection.
This case highlights differing approaches among lenders in the buy-to-let sector. Specialist providers often assist first-time landlords who may face greater scrutiny from mainstream lenders.