LANDBAY, the buy-to-let mortgage lender, has extended its lending criteria to include first-time landlords who do not currently own a residential property.
First-time buyers can apply for a buy-to-let mortgage from peer-to-peer platform Landbay if they are employed and earning a minimum income of £85,000.
Paul Brett, managing director of intermediaries at Landbay, said the move will give people in a higher income bracket an opportunity to purchase a property and rent it out as a credible investment.
“The last few years have been something of a policy rollercoaster for the buy-to-let market, causing some smaller landlords to exit the market altogether,” he said.
“However, ultimately tenant demand shows no sign of letting up, and new landlords are continuing to enter the market despite the more punitive tax regime. It’s essential therefore that we help to support a well-served market.”
It comes after Landbay extended the terms it offers on buy-to-let mortgages from 10 to 25 years following feedback from its broker partner network.
Landbay lent out a record £10m in December thanks to new institutional investment. It has lent out £80m in total since its launch in 2014.