Lending criteria

Here’s everything you need to know about our buy-to-let lending criteria. If you can’t find the answer you’re looking for then use our Criteria Assessment Tool or get in touch with the team.

Who do we lend to?

  • Individuals
  • Limited Companies (SPVs and Trading)
  • Limited Liability Partnerships (LLPs)
  • First-time landlords

Please note: we only lend on properties which are intended for rent. We will not agree an advance where the owners (or their relatives) plan to occupy the property.

All applicants must have/ be

  • Minimum age of 21
  • Maximum age 95 if at least one director is under 85 at End of Term
  • A UK credit footprint
  • No adverse credit history
  • Minimum income of £25,000 PA (there is no minimum for landlords with more than 24 months experience) .
  • Note that all income must be proved.

First-time landlords

  • Maximum LTV of 75%
  • Must be owner occupiers of current main residence


  • HMO Minimum property value – £75,000 in qualifying areas
  • MUFB Minimum property value – £120,000
  • Maximum LTV for HMO is 75%
  • Maximum LTV for MUFB is 75%
  • Applicants must have a minimum of 12 months prior experience as a landlord
  • HMOs – max. 12 bedrooms*
  • MUFBs – max. 12 units*

*HMO minimum room dimensions to be determined by statute and local authority requirements. MUFBs must be a min. of 25sqm per unit.

We lend against

  • Standard properties
  • Houses of Multiple Occupancy (HMO)
  • Multi-Unit Freehold Blocks (MUFB)
  • Properties adjacent or above commercial premises*

*We will consider applications adjacent or above commercial premises, provided that the use for the commercial properties are in line with the local market and that they do not affect the property’s security or long-term rental opportunities. This is restricted to max. LTV of 75%.

Properties must have/ be

  • In England and Wales**
  • Rental income that meets a certain percentage of monthly mortgage repayments. To find out the percentage value that applies to your case, click here
  • A minimum property value of £65,000 for standard properties
  • A minimum property value of £75,000 for HMOs in qualifying areas
  • A minimum property value of £120,000 for MUFBs
  • Be in an area with strong rental demand, as determined by our surveyor partners
  • Be suitable for letting at completion

**Must not be holiday lets, Airbnb lets, consumer buy-to-lets, shared ownerships, Help to Buy, Right to Buy or residential properties.

ICR Rules

2-year Fixed rate and Tracker rate products stressed at the greater of either 5.50% or pay rate + 2%

Standard HMO/MUFB First Time Landlord
Individual 140% 140% 140%
LTD Company 125% 125% 125%
LLP 125% 125% 125%

5-year Fixed rate products stressed at pay rate

Standard HMO/MUFB First Time Landlord
Individual 140% 140% 140%
LTD Company 125% 130% 135%
LLP 125% 130% 135%

Affordability notes

Where the application meets more than one of the above stress rates, the higher stress rate will apply for the application.

The underlying affordibility of the background portfolio for an applicant will be considered against a minimum underlying ICR rate of 125% @ 5.00%.

However Landbay may consider cases that fail the initial minimum coverage ratio (above) if it is indicated appropriate to do so by using an affordibility model. The Landbay affordibility model will take into account a number of elements including other income.

Please note, all calls to Landbay are recorded for training and monitoring purposes.


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