Atom ups max LTV for large commercial mortgages; Vida enhances select BTL deals – round-up

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  • 21/05/2024
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Atom ups max LTV for large commercial mortgages; Vida enhances select BTL deals – round-up
Atom Bank has increased the maximum loan to value (LTV) for large commercial mortgages following broker feedback.

For commercial mortgages up to £5m, they’re available up to a maximum of 75% LTV against market valuations.

Consequently, some applicants’ potential borrowing could rise from a maximum lend of £1m up to £5m.

Atom Bank said that, while it did offer up to £10m for eligible borrowers, the increase to £5m for up to 75% LTV would impact a “significant portion of applicants”.

For most borrowers looking for a Recovery Loan Scheme (RLS) facility, it will allow lending up to the scheme maximum loan size of £2m for LTVs of up to 75%.

Atom said that it would close for new RLS applications from 12am on 28 May, with reduced rates in place until that time.

Tom Renwick, head of business lending at Atom Bank, said: “Atom Bank enjoys a strong relationship with intermediaries, and we use their feedback wherever possible to improve our proposition. It was clear from our discussions with brokers that there was a real gap in the market for higher-LTV lending on these larger mortgages, so we’ve reacted to that.

“These changes demonstrate how serious Atom Bank is about supporting the UK’s SMEs with their borrowing needs, and mean we will be able to work with a much wider range of businesses, helping them meet their growth ambitions.

“Brokers have also been the driving force behind the range of transformative changes we have made to our commercial broker portal and underwriting process, to the point that Atom Bank is now able to get an offer out within 14 working days on average.”

 

Vida enhances select BTL deals

Vida has enhanced its range of limited edition buy-to-let (BTL) products for individual BTL units and houses of multiple occupation (HMOs) and multi-unit block (MUB) properties.

The deals are available on the Vida 36 tier, go up to 75% LTV on a five-year fixed rate term with 6% fee.

The individual BTL product has a rate of 4.84%, and the HMO/MUB deal is 5.04%.

The products are suitable for both individual landlords and limited company SPVs.

Helen Cawthra, head of intermediary relationships at Vida, said: “As a lending specialist, we continually seek ways to support our intermediary partners. These new limited editions will allow a variety of landlords to access products with a lower rate that suits their specialist requirements, with the stability of a five-year fix.

“Intermediaries can contact the V-Hub to speak with us about their buy-to-let cases. There, they can speak with experts and underwriters directly and be confident in our efficient service levels coupled with dedicated intermediary support.”

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