Limited Company Conveyancers Panel
When does this panel go live?
The panel went live on the 11th January 2018.
Why have you created this panel and none of your competitors have?
Many of our competitors do treat Limited Company cases differently from other cases, and apply a range of differing restrictions upon who can carry out Limited Company conveyancing. We have done a lot of work in the market, talking to brokers about their experiences in this area and looking at a range of options. The reality is that Limited Company conveyancing is more complex and time consuming than standard transactions. As the number of Limited Company cases increases in response to a range of external pressures, including from the Government and the regulatory authorities, we felt that we had to respond to ensure that your clients and our borrowers have the experience which we would want them to have. We all want the road to completion to be as smooth as possible. We may be ahead of the competition, but suspect that it will not be long before they follow our lead.
I have submitted a Limited Company case; do I have to change the conveyancer I am using?
If the case was submitted prior to the implementation of our new panel, you do not need to do anything, as pipeline cases are unaffected. If you are submitting a new case, you have two options. You can change to one of the firms on our panel (the option which allows you to get the best out of our panel) or you can continue with the firm nominated by your client. However, in the latter case, we will still instruct one of the firms on our Limited Company Panel to act for us. Your client needs to be aware of the potential impact of this in time and cost (we will expect the applicant to also pay the costs of our conveyancers on top of their own).
What if my client and I do not want to use conveyancer from your panel?
Your client can use any firm which they choose. However, we will still instruct one of the firms on our Limited Company Panel to act for us. Your client needs to be aware of the potential impact of this in time and cost (we will expect the applicant to also pay the costs of our conveyancers on top of their own).
Submitting an Application
How do I submit an application to you?
Fleet Mortgages actively accepts business through approved advisers. To establish whether you can submit business to us please register via the Intermediary Portal. The Intermediary Portal is used to submit an application.
Do you accept uncertified copies of documentation?
No, all copies of original documentation needs to be certified stating the following information: Company name, FCA number, adviser signature, printed name and date.
How do you notify me of any supporting evidence you may require?
We will notify you either by telephone or email that we have added additional checklist items to the application within the Intermediary Portal.
Can I come to you directly?
Fleet Mortgages only liaise with Intermediaries. Contact your broker to enquire about our products or criteria.
Using the Intermediary Portal
How do I use the Intermediary Portal?
The Intermediary Portal Guide will show you how to utilise the Intermediary Portal to its full potential.
The Intermediary Portal guide contains information on changing your information; amending your submission routes and searching for an historic case. The Portal Guide also provides full details on how to request an illustration, decision in principle and submit an application.
How do I register?
The Intermediary Portal can be accessed via our website www.fleetmortgages.co.uk, the link to the portal is located to the top right of the page. Please select ‘Not registered’ and follow the on screen information. You will be sent an email confirming you have been registered or requesting information to enable us to complete your registration.
How do I logon?
The Intermediary Portal can be accessed via our website www.fleetmortgages.co.uk, the link to the portal is located to the top right of the page.
Your Username will generally be your usual email address and your Password will be the password you set in the registration process. Select ‘Next’ to Logon.
About the Loan
Do you accept split interest & capital repayment?
Yes, Capital & Interest. Part Interest & Part Repayment & Interest Only are all accepted.
Is there a minimum or maximum mortgage term?
Minimum 5 years, Maximum 30 years (or up to age 95 at end of mortgage term).
What are your Loan-to-Value's?
Maximum 80% for loans up to £750,000. (HMO 80% = £500,000 HMO 75% = £750,000).
Maximum 70% for loans up to £1,000,000. (including HMO)
What is your Portfolio Aggregate Exposure limit?
Maximum 80% LTV up to £1,000,000
Maximum 75% LTV on loans between £1,000,001 and £2,000,000.
Maximum 70% LTV on loans between £2,000,001 and £4,000,000.
Maximum 65% LTV on loans between £4,000,001 and £5,000,000.
Do you accept gifted deposits?
Gifts from immediate family members (spouse, mother, father sibling, or grandparent) allowed.
How long are your Decision in Principles (DIPs), Credit Searches and Offers valid for?
DIP’s are valid for 30 days.
Credit Searches are valid for 90 days.
Offers are valid for 90 days.
Are overpayments allowed without incurring any early repayment charges?
The applicant cannot make overpayments/lump sum repayments during the fixed rate, discount or tracker period set out in their mortgage offer without incurring early repayment charges. Overpayments/lump sum repayments during any such period, will be treated as an early repayment and will be subject to any early repayment charges that apply to the loan. After the period specified in the offer, the applicant can make overpayments in any amount free from early repayment charges.
Do you allow capital raising?
Yes, except paying tax or gambling debts. Payment of Inheritance Tax or Capital Gains Tax may be considered where the proposal does not suggest a position of financial stress for the borrower.
Is there an application fee?
An application fee of £150 is payable in addition to the valuation fee.
A further fee may be charged if there is significant change to the application.
What options are available when the initial product comes to the end of its term?
Options are either the reversionary rate or a remortgage. We also allow for product transfers, only on new products after 9th April 2019.
Can the arrangement fee be added to the loan?
Yes, the arrangement fee can take the loan above the LTV banding.
Would you accept a family member or connected party residing in the property?
About the Applicant
What are your residential requirements?
All applicants must be resident in the United Kingdom for at least three years, liable to UK tax and have permanent right to reside. (Tier 1 and Tier 2 visas are unacceptable).All applicants must have a National Insurance number and a full credit history at their current, previous, or linked addresses for the last three years.
Do the applicants need to be owner-occupiers?
The Primary applicant must be a current property owner. However, please be mindful that we do require evidence of good mortgage conduct (12 months for individual Buy to Let properties, or 2 years for HMOs) or a Land Registry search to confirm ownership if unencumbered.
Do you accept first time buyers or first time landlords?
First time landlords are acceptable but must be a UK property owner.
First time buyers are not acceptable.
What is your maximum number of applicants?
A maximum of 4 applicants.
What is your minimum and maximum age limit for applicants?
Minimum 21 years. (First time landlords 25 years). Maximum 95 years at the end of the mortgage term
Do you lend to Limited Companies?
Limited Companies must be Special Purpose Vehicles registered within England and Wales.
At least one of the following SIC codes must be applied: 68100, 68209, 68320, 68201.
Max of 4 directors / shareholders.
Full personal guarantees, on a joint and several basis, from all directors and shareholders required.
All guarantors will require face to face independent legal advice.
All Directors and shareholders will be underwritten.
All directors must be resident in the UK.
Fleet Mortgages will consider applications where individuals are ’transferring’ (selling) properties to an SPV limited company they own. We would class this as a purchase. Please call us for more information.
Our Mortgage Conditions contain a restriction (known as a “negative pledge”) upon the ability of the Company to take on further borrowings without our consent. Please refer to our Limited Company Guide for more information.
What are your Income requirements?
The Primary applicant must have a minimum income in excess of £15,000 per annum and reducing future income is unacceptable. Rental income is acceptable if evidenced on latest SA302 or signed accounts. Fleet Mortgages will verify the income of the Primary applicant in all cases by means of one of the following: latest 3 months’ payslips, latest SA302, latest P60, latest Signed Accounts or latest Pension Statement.
How long does an applicant have to be employed/self-employed for?
Employed – Must have be in continuous employment for at least 12 months and have passed their probation period.
Self-employed & Contractors – Must have a minimum trading history of 2 years in current business. Contract employees will be considered on a case-by-case basis and Fleet Mortgages reserves the right not to proceed with the application.
Retired – An applicant can be retired provided they fulfil the minimum income test.
Do we lend to foreign nationals resident in the UK?
Yes, we will ensure the applicant is entitled to live and work in the UK. We may request a Home Office letter of confirmation. The applicant must have a national Insurance Number. No Lending will be permitted where any applicant is eligible for Diplomatic Immunity.
Do we lend to Expats?
We do not lend to Expatriates or applicants with a BFPO (British Forces Post Office) address.
What adverse credit, if any, would you consider?
Fleet Mortgages do not generally consider adverse credit. although where it is less than £100 or more than 3 years ago, it may be considered and is subject to Underwriter discretion. Fleet Mortgages will not consider any applicants who currently, or within the last 6 years, have had a petition or declaration of bankruptcy against them. Where Fleet become aware that an applicant is a Director or Shareholder of a company that has gone into, or is due to go into, Creditors’ Voluntary Liquidation or Compulsory Liquidation, we will not lend.
About the Property
Do you lend in Scotland or Northern Ireland?
No, Fleet Mortgages only lend in England & Wales.
Is there a minimum and maximum Valuation?
The valuation can be between £75,000 and £5,000,000. However, MOD/Housing Association & Multi-Unit Block Properties must have a minimum valuation of £100,000 if outside London and South East Regions, or £150,000 within. For Ex-local Authority properties a minimum value of £75,000 is required outside London & South East Regions and a minimum of £150,000 within.
What is the minimum term of lease?
Leases must have at least 75 years unexpired term on completion of the mortgage.
Do you value investment properties using a rental yield methodology?
No. All properties are valued on a residential ‘bricks & mortar’ (comparable evidence) basis.
Can rental be considered on a room-by-room basis?
Yes. For HMOs and Multi-Unit Properties please instruct an HMO/Multi Unit Block product type so the Valuer can consider rents on a room-by-room basis.
What is your rental calculation?
Our standard rental calculation is at least 125% interest cover for the monthly mortgage payment on an interest only basis and at the initial rate, or nominal rate (currently 5.5%) or the product revert rate, whichever is the higher.
Do you accept Corporate Lets?
Yes, approval is required prior to submission of the application. If uncertain please send us the lease agreement in advance.
What is your definition of a new build property?
New builds are defined as properties constructed or converted within the last 12 months or properties that have never been occupied. Up to 70% LTV on new build flats and up to 75% LTV on new build houses.
What is your definition of an HMO?
– Properties with a mandatory or discretionary HMO licence as required by the local council or
– A property that would not sell as a family home without alteration or
– A property with a non-standard layout. Locks on bedroom doors or sinks in bedrooms or
– A property classified as a HMO by our Panel Valuer.
Do you have any specific criteria requirements for an HMO/Multi-Unit Block?
Standard letting criteria applies. Plus;
The Primary applicant must have been a landlord for at least 2 years.
Minimum Property Value is £100,000 outside the London and South East regions; or £150,000 within.
No more than 6 bedrooms/tenancies (10 self-contained units if Multi-Unit Block).
The property must be licensed as an HMO if required by the local council.
Do you lend on Ex-Local Authority properties?
Yes up to 70% LTV.
Minimum Property Value is £75,000 outside the London and South East Regions; or £150,000 within.
Do you allow lending on unencumbered properties?
Yes, proof of property ownership must be obtained.
Do we allow lending on properties recently purchased at Auction?
Yes, but against the price paid at auction or the value as per our valuation report, whichever is the lower.
Do you allow holiday lets?
Holiday lets are not accepted.
Do you accept Let to Buys?
Let to Buy applications are not accepted.
Do you lend on studio flats?
Fleet Mortgages can lend on studio flats, but they must adhere to the minimum floor area requirements of 35 sq meters, and be in a city centre location with a confirmed value in excess of £150,000.
Do you lend above or adjacent to commercial properties?
Properties above or adjacent to commercial are considered on a case-by-case basis and Fleet Mortgages reserves the right not to proceed with the application. Please refer prior to submission.
Properties will be considered if the minimum property valuation exceeds £150,000 and Valuer comments are positive.
Would you accept a property with an annex?
Properties with Annexes are not permitted on our standard range. However, these can be considered on our HMO / Multi-Unit Block range. Please contact us if uncertain.
Will you allow lending next door to the current residential or property already owned?
What is your maximum number of bedrooms / tenancies?
Six is the maximum number of bedrooms and tenancies we accept. However, we do consider up to 10 self-contained units in a Multi-Unit Block.
Do you accept freehold blocks (multi-unit blocks)?
Freehold blocks are accepted up to 10 units as long as there are no leases on the units.
Do you accept leasehold properties where the owner is connected to the freeholder?
No. However, we do accept share of freehold, providing not majority share.
What is your criteria on Flats – Purpose built & Conversions?
One leasehold flat is accepted as long as the applicant is not connected to the freeholder.
Freehold blocks are accepted up to 10 units as long as there are no leases on the units.
How many stories are accepted in a block of flats?
Up to 5 storeys (up to 10 storeys are acceptable within the M25).
What exposure do you accept in a development?
Up to 20% exposure to a development or 1 unit in a development of 5 units or less.
Do you accept any type of concrete construction?
Laing Easiform from 1945 onwards and No Fines construction are acceptable construction types. Please refer to our list of Construction types.
Are Timber framed properties acceptable?
Pre 1965 softwood timber framed constructions lacking special merit on salability are unacceptable. 100% timber construction are also unacceptable unless of high standard and in a location where there is proven, sustainable demand. Please refer to our list of Construction types.