Frequently Asked Questions – Buy-to-Let

Applicants must have a minimum income per application of £25k per annum. For joint applications this can be a combined income (e.g. applicant 1: £15k, applicant 2: £10k).

The minimum age is 25 and applies to both applicants where a joint application has been made. We do not accept First Time Buyers for Buy-to-Let mortgages.

Maximum loan size for any one property is £500k.

TSB will lend to landlords with a maximum of three mortgaged Buy-to-Let properties, either with TSB or other lenders. This includes all properties that are held by an individual, a group of customers, limited company or any other legal entity.

An individual or group of customers can hold a maximum of:

• One main residence and three non-main residences with TSB. The non-main residences can include; Buy-to-Let, second home, existing consent to lease.
• £2 million of non-residential mortgages with TSB.

includes all properties that are held by an individual, group of customers, limited company or any other legal entity.

In order to meet the self financing calculation for Buy-to-Let mortgages, the rental income is required to cover the higher of 145% of the mortgage interest at initial product pay rate OR 145% of the mortgage interest at a notional rate of 5.5%. The self financing calculation must also cover the product fee if this is to be added to the loan.

Should the rental income be insufficient to meet the self funding calculation then the loan amount must be reduced to fit. Personal income may not be utilised to meet any shortfall in rental income.

For Buy-to-Let applications the valuer will provide an expected market rental value figure.

No, letting to family members is not permitted under a Buy-to-Let mortgage - these purchases must be processed as a second home loan.

A maximum of 4 unrelated occupiers / tenants in England and Wales, 3 in Scotland per AST (Assured Shorthold Tenancy). 

• In England and Wales, an AST under the Housing Act 1988 is required. 
• In Scotland, a PRT (Private Residential Tenancy) is required. 

Yes, as long as the applicants are not First Time Buyers they can apply for a Buy-to-Let mortgage.

No, applicants must have resided in the UK for at least the last 12 months to apply for a Buy-to-Let mortgage.