Temporary changes to our maximum allowable adverse criteria.

Defaults: 0 in 24 months
CCJs: 0 in 24 months
Mortgage arrears: 0 in 36 months
Unsecured arrears: 1 in 12 months, 2 in 36 months (worst status)
IVA and bankruptcy: Must have been discharged for 6 years
Repossessions: Are not accepted
Debt Management Plans (DMPs): Are not accepted

Please be aware that further restrictions may apply, depending on the product chosen. See relevant product guide for further details.

Minimum age: 21
Maximum age: 80 at the date of application

Unfortunately we are unable to accept applicants who are currently employed by an employment agency.

We may consider properties where a 'granny annexe' is present. However, we must be able to establish that the annexe does not benefit from its own facilities (self-contained) and will not be occupied independantly of the main property. Suitability of the property will be subject to underwriter review and valuer's comments.

An annual bonus can be included as part of a customer’s total income providing this is regular and two years' verification can be provided. Please note that we will only include 50% of any bonus in our affordability assessment, however the full amount should be keyed in the online application.

New Build properties and properties less than 10 years old will need to benefit from an acceptable building warranty provided by one of the following:

• Advantage HCI
• Aedis Warranties Ltd
• Ark Residential New Build Warranty
• BOPAS (Build Offsite Property Assurance Scheme)
• Build Assure
• Building Life Plans
• Buildzone
• Checkmate (Castle 10)
• Global Home Warranties
• International Construction Warranties (ICW)
• LABC
• N.H.B.C. Guarantee
• One Guarantee
• Premier Guarantee Scheme
• Professional Consultants Certificate (previously an Architect’s Certificate). We can consider a PCC on developments up to 10 Units. The issuing architect should have minimum professional indemnity insurance equivalent to the greater of £500,000 or the property value.
• Protek
• The Q Policy
• Zurich Municipal New build

Please note: we are unable to accept retrospective building warranties.

We will consider capital raising on all remortgage and second charge loan applications. The amount and purpose of the capital raising should be provided on the application. Please note we will not accept capital raising for speculative investments such as purchasing cryptocurrencies, e.g. bitcoins.

Where certified documents are required in support of an application, they should be certified by a suitable representative of the introducing broker or intermediary company. The certification will need to clearly show the following:

• The company name
• The certifier’s name and their position within the company
• The certifier’s signature
• The date

Where an applicant has been seen on a face to face basis:

• All submitted documents must be certified as follows ‘I certify this is a true copy of the original’
• Where the document contains a photograph it must also be certified as ‘a true likeness of the applicant’

Where an applicant has been seen on a non-face to face basis:

• All submitted documents must be certified as follows ‘I certify this is a true copy of the original’

ID and residency documents must be certified individually, for further details please see our Anti Money Laundering Guidelines.

Click here to download a copy of our Document Submission form.

Where you are unable to certify the applicant’s documentation Post Office certification is acceptable and we will require a fully completed Post Office Certification Form. Further information can be found at www.postoffice.co.uk/identity/document-certification.

For more information on our validation requirements for supporting documents, click here.

Applicants working in construction as a Construction Industry Scheme (CIS) contractor are acceptable and will be treated as self-employed and the relevant income verification will be required.

Where the valuation is returned with noted uncertainty regarding the building’s cladding or external wall system an EWS1 certificate with supporting covering letter from the certificate provider will be requested for review by our Real Estate team. The Real Estate team may need to speak with the EWS1 certificate provider as part of their validation process.

We are unable to consider any property where commercial usage exceeds 20%.

Flats above or adjacent to commercial premises may be considered on an individual basis.

Home office usage is acceptable providing that this does not involve clients being seen on the premises on a regular basis.

For any other form of commercial usage, please contact us for further information.

We accept properties of traditional and Modern Methods of Construction (MMC).

We may be able to consider on referral:

• Timber framed period properties
• Post 1980 steel framed properties.

The following methods of construction are not acceptable:

• Any property of Easiform construction.
• Any property containing mundic concrete.
• Any property containing no-fines concrete.
• Flats or maisonettes in blocks exceeding 20 storeys.
• Grade 1 listed buildings in England and Wales / Grades A and B in Scotland.
• Mobile homes and houseboats.
• Properties constructed with high-alumina cement, timber framed property with no brick skin or 100% steel or timber framed property. This does not include high rise developments.
• Property designated defective under Part XVI Housing Act 1985, Housing (Scotland) Act 1987 or Pre-Cast Reinforced Concrete (PRC) property (irrespective of whether repaired under a licence repair scheme).

A consumer buy to let is not entered into predominately for the purposes of a business investment. These are usually inherited properties or properties where the applicant/family previously lived. We accept consumer buy to lets across our buy to let range. Please note, brokers will need to be registered with the FCA as a CBTL Intermediary (Arranger and Advisor) prior to placing an application with us.

We will accept general contractors, CIS contractors and applicants employed on a fixed term contract. In all instances, where an applicant is responsible for paying their own tax or national insurance they will be classed as Self-employed and the relevant income verification will be required. If an applicant is employed on a fixed term contract that has less than 6 months remaining, we will require written confirmation from the employer stating their intention to renew the contract.

When completing a mortgage, both Precise Mortgages and your customer will need a conveyancer to complete the necessary legal work associated with the transaction.

There are three conveyancing options available for your customer:

• Preferred conveyancer panel joint representation
• Core conveyancer panel joint representation
• Separate representation – if selected a member of the preferred panel must be selected to represent Precise Mortgages.

Click here for more details.

A mortgage application cannot be considered before a criminal conviction is spent. Please contact us directly to discuss the time limits of spent convictions.

We will accept applications where there is an element of capital raising for debt consolidation. We will require a fully completed debt consolidation form and where affordability is dependant on these debts being repaid, there will be a condition added to the offer. Please note for buy to let applications where capital is being raised for debt consolidation, brokers will need Credit Broking and Debt Counselling permissions registered with the FCA.

Acceptable deposit sources

The deposit should come from the applicant’s own resources and have originated within the EEA without recourse to additional borrowing. We will also accept the following sources of deposit:

• Family gifts
• Remortgage or secured loan on an existing property owned by the applicant
• Builder’s Second Charge

Unacceptable deposit sources

The following forms of deposit/incentive are not acceptable:

• Help to Buy.
• Builder’s deposit - where the builder is offering any cash-based incentive (rather than a Builder’s second charge) e.g. discounted purchase price, stamp duty paid, legal fees paid, cash back after completion, mortgage paid etc. this will be deducted from the lower of the purchase price/valuation, and LTV will be calculated on the net figure.
• Purchase from a company in which the applicant has an interest.
• Forces Help to Buy.
• Ministry of Defence Loan.
• Cryptocurrencies - any deposit sourced via cryptocurrencies e.g. bitcoins, is not accepted.

Please see Vendor’s deposit, family purchase, family gifted deposit and Help to Buy for further information on these scenarios.

Applicants with diplomatic immunity from UK law will not be accepted.

Early Repayment Charges may apply to your customer if they decide to repay all or part of their mortgage early. Details of the charges can be found in Section 8 of their Mortgage Offer.

For more details, see our Customer Information Booklet.

Click here for our existing customer website.

Where an applicant is employed by a family member we will require a letter from the company's accountant addressed to Precise detailing the applicant's job title, role, salary, and length of time with the company. This is in addition to our standard and income verification requirements.

Employed

Applicants must be in permanent employment that is not subject to a current probationary period. Applicants must have been in their current job for a minimum of 3 months with 12 months continuous employment.

Applicants on a fixed term contract basis are acceptable but if there is less than 6 months remaining on the contract confirmation of renewal may be required.

Agency workers are not acceptable.

Where an applicant has a shareholding of 25% or over, or is responsible for overall payment of their tax and National Insurance, they will be classed as self-employed.

For applicants on a zero hours contract click here for more information.

Self-employed

Applicants will need to have been trading for a minimum of 12 months and we will require income verification for the number of years’ income keyed onto our online application.

The following income will be accepted:

• For sole traders - net profit.
• For partnerships - the relevant share of the net profit.
• For limited company directors - remuneration plus dividends.

EU citizens are acceptable providing they have a 3 year UK residential history and must provide valid evidence that settled or pre-settled status has been granted under the EU Settlement Scheme. The evidence can be in the form of a Residence Card, or via the ‘View & Prove Your Immigration Status Online Checking Service’ provided by the UK Home Office. To use the UK Home Office checking service, the applicant is required to obtain and provide a ‘Share Code’ that will allow Precise Mortgages to check the applicant’s settlement status.

A letter from the UK Government Home Office confirming settlement status cannot be used as evidence.

Settled status is awarded to EU citizens that can evidence a minimum 5 years’ of continuous residence in the UK, whereas pre-settled status applies to those who have not resided in the UK for 5 years. Those awarded a pre-settled status can apply for status once the 5 year residence requirement can be met.

Irish citizens are exempt from the EU Settlement Scheme, and so instead will need to provide documentation evidencing proof of Irish Nationality such as a Passport.

Ex-local authority flats or maisonettes may be considered providing they do not contain deck access. The block should be predominantly privately owned and will be subject to an individual underwriter review.

A gifted deposit from an immediate family member* is an acceptable source of deposit unless the property is being purchased from the family member who is providing the gift.

Where the property is being purchased from a family member at a discounted price, this is acceptable providing the family member will not continue to reside. Our lending and assessment of the maximum LTV will be based on the reduced price and the vendor relinquishing all rights to the property. The applicant must commit their own funds to the transaction.

Gifted deposits will not be accepted from anyone that will reside in and/or have an interest in the property but will not be party to the mortgage.

We will require a fully completed Gifted declaration form, click here to download a copy.

*Please refer to page 2 of Gifted Declaration form

We are unable to lend on a property where new or existing tenants are related to the applicant.

We will consider applications where the property is being purchased from a family member. A discounted purchase price is acceptable providing the family member will not continue to reside. Our lending and assessment of the maximum LTV will be based on the reduced price and the vendor relinquishing all rights to the property. The applicant(s) must commit their own funds to the transaction.

There are a number of additional fees involved in a mortgage application. Please refer to the ‘Tariff of mortgage charges’ document for full details.

The product and telegraphic transfer fees can be added to the loan amount. Any fees added will not be incorporated into the LTV calculation but will be included in our affordability assessment.

Other fees include Product Switching Fee, Property re-inspection fee, Telegraphic transfer fee (£25) and Redemption administration fee (£40).

Click here for information on Buy to Let Mortgage valuation fees.

For applicants looking to utilise our Refurbishment Buy to Let proposition, separate rates and fees apply. Click here to view our Refurbishment Buy to Let Guide for full details.

First Time Buyer Landlords are not acceptable

We have changed the way we underwrite applications for 5-year fixed rate mortgages to remove the additional documentation needed, making the process easier for you. For further details about these changes please read our blog.

• Must be self-contained with private facilities.
• Must have direct access to the highway via covered common parts.
• Up to a maximum of 20 storeys.
• Minimum floor area 30m².

Flats above or adjacent to commercial premises may be considered on an individual basis.

Click here for details of Ex-local authority flats.

Studio flats are acceptable, click here for further details.

A property with an element of Flying Freehold can be considered providing it does not exceed 10% of the total area.

Where an applicant is from outside the EEA they must have been resident in the UK for the last 3 years and have permanent rights to reside in the UK. Proof of visa will be required.

We can consider lending to foster carers on a case by case basis. Proof of income will be required in all instances in line with our self-employed and income verification requirements.

Freehold is unacceptable for flats/maisonettes with the exception of Multi-Unit properties. If the applicant is the sole owner of the freehold to a building that contains the leasehold flat, Precise Mortgages will take a charge over both the freehold and the leasehold.

As part of GDPR it is important that all customers and intermediaries are aware of how we use personal data, please select the relevant Privacy Notice below for further details:

• Customer Privacy Notice
• Customer Summary Privacy Notice
• Intermediary Privacy Notice

Mortgage guarantors are not acceptable on personal ownership applications.

For Limited Company applications all company Directors and shareholders over the age of 21 are required to provide a Personal Guarantee for the mortgage. The directors/shareholders added to the application must match to those registered with Companies House.

If your landlord customer is looking for a holiday let mortgage our sister company InterBay Commercial could help. To find out more, visit InterBay.co.uk.

We are unable to accept applications where any of the applicants have been in receipt of housing benefit in the last 12 months.

In all cases we will try to electronically verify the identity of the applicant. On occasion this is not possible and we will require certified documentary evidence to satisfy our requirements. The documentation you need to provide to us is detailed in our Anti-money laundering guidelines.

The following are acceptable sources of income:

Employed

*Full amount should be keyed into the application.

Self-employed

• For sole traders - net profit.
• For partnerships - their share of the net profit.
• For limited company directors - remunerations plus dividends.

The following can be included as income where evidence is available:

• Sole traders/partnerships:
• Private pension payments where declared on the tax calculations.
• Directors (owns 25% or more shares)
• Director's car allowance.
• Director's pension payment.

Additional income

*Full amount should be keyed into the online application, not 50% of the full amount.

Where a property has been inherited, probate must have been granted prior to a mortgage application being made. Evidence of the Grant of Probate should be provided ahead of a Mortgage Offer being issued. Where the beneficiary is looking to capital raise on the property, the application should be submitted to us as a remortgage and no minimum period of ownership will apply in these cases.

If the applicant is purchasing the property after being granted part of this in probate, we have no minimum period of ownership for the vendor.

This is acceptable for limited company lending subject to:

• The majority shareholder to mirror across SPV and connected company.
• Must be UK to UK company (no offshore companies).
• Loan needs to be repayable, and a term agreed.
• Rate of interest applied should be HMRC's 'Actual official rate' as a minimum.
• Connected company not to have any interest or charge over our security.
• Any monthly payment to be included in ICR calculation. This will be done by the Underwriter following review of the Loan Agreement. For an indicative maximum loan, use the Buy To Let Calculator by reducing the rental income by the loan payment. The full rental income must be declared on submission of the application.

A signed loan agreement must be provided which confirms that the loan is repayable, the term agreed, interest rate, monthly payment and that there is no interest or charge over the security property.

The minimum remaining lease term must be 70 years at the time of application.

Let to Buy situations may be considered up to a maximum of 80% LTV. Where the customer is raising funds on their existing residential property, then there must be a concurrent purchase of a new residential property and we will require evidence of this.

The remortgage and purchase must complete simultaneously.

Precise Mortgages will consider lending to business applicants providing they meet the following criteria:

• Must be a registered Limited Company set up with the specific purpose of buying property (SPVs);
• The business must have a UK registered address and must operate entirely within the UK;
• Each business must have a maximum of 4 directors/shareholders none of which may be another Limited Company.
• Maximum term 35 years (maximum guarantor/director age at application 80 years).
• Maximum of 20 buy to let loans per individual (including buy to let loans which the individual has guaranteed), with Precise Mortgages up to a combined value of £10,000,000.

The company should have one of the following SIC codes (Standard Industrial Classification) set up at incorporation:

• 68100 - Buying and selling of own real estate
• 68209 - Other letting and operating of own or leased real estate
• 68320 - Management of real estate on a fee or contract basis

In all applications, Personal Guarantees will be required for all Directors. Additionally, all shareholders over the age of 21 will be required to provide a Personal Guarantee for which we require them to have obtained independent legal advice. There is no limit on the number of shareholders under the age of 21 subject to the shareholders being dependants of the Directors.

For Limited Company applications Precise Mortgages will accept a Direct Debit from a bank account in the name of:

• the Limited Company
• the sole director of the Limited Company
• more than one (but not necessarily all) director(s) of the Limited Company.

Limited company applications will require all directors/shareholder’s to provide a Personal Guarantee for which we require them to have obtained independent legal advice.

The legal advice can be provided by the solicitor acting as the conveyancer or a separate solicitor within the same company, providing that they are prepared to give the advice and ensure there is no conflict of interest.

The legal advice must be provided on a face-to-face basis only (face to face via video calls acceptable).

Obtaining legal advice may incur additional costs for the customer and they should contact the acting conveyancer for details of this.

Applicants on maternity leave are acceptable providing they will return to work on the same terms of employment. We will require a letter from the employer confirming the applicant's salary and working hours before commencing maternity leave, the return to work date, salary and working hours after returning to work and whether there are any changes to the applicant's contract of employment. This should be addressed to Precise Mortgages.

We will accept remortgage applications 6 months after either the original purchase date or the last remortgage date.

Precise Mortgages’ bridging borrowers can remortgage on to a Precise Mortgages Buy to Let product after 1 month.

For probate cases, no minimum period of ownership will apply.

Properties that have any MMC components can be considered providing the property was constructed by one of the following companies:

• Barratt Developments
• Bellway
• Berkeley
• Bloor Homes
• Bovis Homes
• CALA Homes
• Crest Nicholson
• Galliford Try
• Persimmon
• Redrow
• Taylor Wimpey

A Multi-Unit property is a single structure that contains separate self-contained units or flats that are held on a single freehold title. Each unit must be completely self-contained and meet our property criteria in its own right- including minimum valuation and ICR calculations.

Applicant:

• Experienced landlords only - applicants must have held a buy to let property for at least 12 months prior to an application being made.
• Available for Personal ownership and Limited Company applications.

Loan:

• Tier 1 only.
• Maximum LTV - 70% up to £1,000,000, 75% up to £750,000, portfolio lending restrictions may also apply.
• Maximum loan amount- £1,000,000.
• The loan and rental calculations will be based on an aggregate of the individual unit values and rental values provided on the valuation report. If the valuation or purchase price is lower than the aggregated values, our lending will be based on the lower figure.

Property:

• Minimum valuation- £150,000 in London and £50,000 elsewhere (applies to each unit).
• Minimum of 2 and maximum of 6 units within a single block, each unit must be entirely self-contained.
• New build properties and properties defined as an HMO are not acceptable.
• The property must be entirely on a freehold title, any property with separate leases will not be accepted.
• Each unit must have a minimum floor area of 30m2.
• Multiple houses held on one freehold title are not acceptable.
• Holiday Lets are not acceptable.
• Any adverse planning restrictions that could prevent the creation of leases are not acceptable.
• Available for properties in England and Wales.

Please note: Homebuyers valuations are not available for HMO properties.

UK nationals are acceptable providing they have a 3 year UK residential history. EU citizens and foreign nationals from outside of the EEA must have been resident in the UK for the last 3 years and have permanent rights to reside in the UK.

For further details select the relevant section:

• EU and Irish Citizens
• Foreign nationals

• Precise Mortgages define New Build as a property that has never been occupied.
• Maximum 80% LTV accepted.
• Borrowing is available on flats up to 20 storeys.
• New builds flats with a commercial ground floor are considered.
• Some Section 106 planning obligations are acceptable.
• No reassignment of contracts.
• An acceptable Building Warranty will be required, we are unable to accept retrospective warranties.
• Any cash-based Builder’s incentive will not be acceptable, please see Unacceptable Deposit Sources for full details.

Please note: we are unable to consider New Build properties for Multi-Unit applications.

We are unable to consider applicants who are employed on a NHS Bank Nursing basis as a secondary income to the application. Where an applicant is a permanent employee of the NHS but earns additional pay from NHS Bank Nursing, we will only include the primary earnings in our affordability assessment.

Offers will be valid for 3 months from the valuation date. An offer extension may be considered (up to a maximum of 6 months from original valuation) on request from either a broker or a solicitor. For New Build offers click here.

Customers are able to make overpayments on their mortgage, should they wish to do so.

Customers should read our Customer Information Booklet and their Mortgage Offer for full details and whether early repayment charges would apply to the overpayments.

Click here for our existing customer website.

We can consider lending to applicants who have made use of payday loans, this will be assessed on a case by case basis.

A single customer can have up to 20 individual Precise Mortgages buy to let loans (including buy to let second charge loans and mortgages they guarantee) with a maximum combined value of £10,000,000.

Unlimited with other lenders.

Portfolio criteria will be assessed at underwriting stage and as a result we may reduce the amount we will lend below that stated in any DIP to reflect our maximum LTV limits.

A portfolio landlord has four or more mortgaged buy to let properties.

The following should be included in the number of properties a portfolio landlord holds:

• All mortgaged buy to let properties owned by the applicant whether jointly, in their sole name or by a company of which they are a director or shareholder.
• Any property owned on a residential basis with consent to let.
• If the applicant is a limited company, properties owned by the company’s directors and shareholders, or owned by other companies of which the directors/shareholders are a shareholder or director.
• Unencumbered properties do not need to be included but may strengthen the overall portfolio.
• Pending buy to let purchase applications with Precise.

As part of our underwriting process we'll make an assessment of an applicant’s portfolio based on their individual circumstances and taking into account the impact of future interest rate increases.

Please refer to the following links for further guidance:

• Portfolio calculator
• Portfolio landlord
• Business plan, cash flow and assets and liabilities form
• Existing property portfolio details

All our products are not portable.

Precise Mortgages cannot consider remortgaging a property purchased under any scheme where a current pre-emption clause is in place or where the original vendor retains any interest in the property. Any pre-emption clause will need to have expired before an application is made.

If the applicant decides to change the product on the application after the mortgage product has been offered, a non-refundable administration fee of £70 is payable prior to the amended mortgage offer being issued.

All properties must comprise of a single residential dwelling unit i.e. own living accommodation/kitchen/bathroom etc. Taking a single mortgage over a property converted into more than 1 unit is not accepted with the exception of Multi-Unit properties.

If the construction is non-traditional, contact us for acceptability. There are certain construction types we will not accept, click here for further details.

Properties built within the last 10 years must benefit from an acceptable warranty scheme. Please refer to The UK Finance Lenders handbook for the currently acceptable schemes.

For details of unacceptable property types, click here.

Where a property has been inherited, probate must have been granted prior to a mortgage application being made. Evidence of the Grant of Probate should be provided ahead of a Mortgage Offer being issued. Where the beneficiary is looking to capital raise on the property, the application should be submitted to us a remortgage and no minimum period of ownership will apply in these cases.

If the applicant is purchasing the property having being granted part of this in probate, we have no minimum period of ownership for the vendor.

In all cases we will try to electronically verify the address history of the applicant. On occasion this may not be possible and we will require documentary evidence to verify the applicant's address history. We will need any document submitted to be correctly certified and be dated within the time period we have requested proof of address for. To see a full list of acceptable documents click here.

Click here to see our certification requirements.

Where a re-inspection is necessary after the initial valuation is carried out, there will be a fee of £80.

Where a mortgage product includes a refund of the valuation and/or the assessment fee this will be refunded on completion of the mortgage. If a Homebuyer’s Report was selected, we will refund an amount equivalent to our standard valuation and assessment fee.

Any refund will be included in the funds sent to the conveyancer or, if you have appointed your own conveyancer to act for you separately, the funds will be sent to our conveyancer. Applicants should contact their conveyancer to find out how fee refunds will be distributed.

Our Refurbishment Buy to Let product allows your customer to take advantage of the flexibility of Bridging Finance with the surety of an exit onto a Buy to Let Mortgage once the property has been refurbished (providing there is no change in circumstances and the property meets the expected valuation following refurbishment).

Each element of the loan should meet the relevant standard criteria. Customers must complete any refurbishment work within the buy to let offer validity period which will be 6 months from the valuation date.

Ideal for:

• Properties needing works to meet the minimum EPC rating, such as boiler replacement.
• Properties purchased at auction that require light refurbishment to be acceptable for mortgage purposes.
• Landlords choosing to refurbish in order to maximise the rental yield of their property.

Click here to access our Refurbishment Buy to Let guide.

Please note, acceptance of the refurbishment project is subject to a full underwriter review to ensure it is in keeping with our Refurbishment Buy to Let product.

Properties where the proposed works require Permitted Development Rights (PDR) or would be classed as heavy refurbishment are not currently accepted.

Refurbishment Buy to Let forms

• Personal ownership DIP/application form
• Limited Company DIP/application form
• Limited Company additional guarantor form
• Full mortgage application declaration

We will accept remortgage applications 6 months after either the original purchase date or the last remortgage date.

Precise Mortgages’ Bridging borrowers can remortgage on to a Precise Mortgages Buy to Let product after 1 month provided the underwriter is satisfied with the overall transaction, or this has been secured at the time of application by utilising our Refurbishment Buy to Let product.

All UK nationals are acceptable subject to a 3 year UK residential history. EEA and non EEA Nationals must have been resident in the UK for the last 3 years and have permanent right to reside in the UK.

We are unable to consider any property that may have a restricted occupancy clause within the planning permission, for example a property that can only be occupied for a maximum of 11 months in any one year.

Similarly, properties that can only be used for retirement or sheltered accommodation is not acceptable. This is the same for any property where a planning restriction (e.g. agricultural restriction) effectively limits a property’s appeal on the open market.

Retentions are not acceptable and lending will be based on the current value of the property, which must represent suitable security.

Where an applicant has a shareholding of 25% or over, or is responsible for the overall payment of their tax and national insurance, they will be classed as self-employed.

Applicants will need to have been trading for a minimum of 12 months and we will require income verification for the number of years’ income keyed onto our online application.

The following income will be accepted:

• For sole traders - net profit.
• For partnerships - the relevant share of the net profit.
• For limited company directors - remuneration plus dividends.

On some occasions we may require a specialist’s report for the property, these most commonly comprise of:

• Timber and damp, electrical, trees, cavity wall tie;
• Mining report (for long term lending these are obtained by the solicitors and a special condition is imposed at offer).

Any such reports should be prepared by a reputable firm and should be forwarded to us for review and referral to the valuer.

Precise Mortgages are unable to consider any property being purchased under Shared Ownership or Key Worker Schemes.

We will consider a property that contains solar panels. The conveyancing solicitor would need to review the lease, if there is anything within the lease that can have an effect on the security property then we may not be able to consider your application. This could be an overriding interest in the property, or they have a right to take these solar panels down at any time, as this may cause damage to the property if they choose to do this.

The valuer may request a Structural Report for the property.

Where necessary the valuer may request a structural report, these will need to be produced by members of the following bodies:

• The Institution of Structural Engineers (www.istructe.org.uk)
• The Institution of Civil Engineers (www.ice.org.uk)

The report must be referred to the valuer for comment. If the report is not addressed to the applicant, written confirmation must be obtained from the originator that its contents may be relied upon by the applicant(s).

We will not lend on any property with either ongoing movement or where monitoring is required where this is identified by either the valuer, or where evident in the structural engineer’s report.

We are able to consider student lets providing they meet our standard buy to let criteria. Properties similar to a Halls of Residence will not be accepted.

Student loans should be included in an applicant's credit commitments to give an accurate affordability assessment. If these are added to the application at a later date the loan amount we are able to offer may be affected.

• Minimum floor area of 30m²
• Must be self-contained with private facilities
• Maximum LTV 70%

Freehold - Acceptable for houses only. Freehold flats/maisonettes are not acceptable.

Leasehold - Minimum remaining lease term is 70 years at the time of application.

Flying Freehold - A property with an element of Flying Freehold can be considered providing it does not exceed 10% of the total area. The valuer must comment and confirm the total percentage.

Commonhold - Not acceptable.

If the title to the property is leasehold and the freehold title is owned by the applicant, a relative of the applicant or a limited company the applicant is a director/shareholder, Precise Mortgages will require a charge over both the freehold and the leasehold.

The UK Finance Disclosure of Incentives Form (DIF) must be completed by home builders for all new home sales involving a mortgage. This document outlines all incentives involved in the transaction, please note we are unable to accept incentives on buy to let applications.

The following types of property are not considered acceptable:

• Commercial Properties.
• Coach houses.
• Live/work units.
• Click here for unacceptable construction types.
• Any property affected by Japanese knotweed.
• Any property deemed unsuitable security by the valuer.
• Any property where there is ongoing movement/monitoring is required.
• Property where material environmental hazards are present.
• Property where saleability may be adversely affected by local planning or by an unsatisfactory mining search.
• Property being purchased under any social housing schemes. We're unable to consider remortgaging any property purchased under any such scheme where the original vendor retains any interest or where any pre-emption clause remains.
• A property that is affected by or within influencing distance of any significant factor which will have a negative impact on the property’s value or re-saleability (e.g. overhead pylons, sub stations, etc).
• Property has been purchased from a company that the applicant has an interest in.
• Property is subject to either a back-to-back or sub-sale agreement or subject to a Finder’s Fee or has been owned by the vendor for less than 6 months.

Unencumbered properties do not have current mortgages or loans secured on them. When raising funds on an unencumbered property, applications should be submitted on a remortgage basis.

We can consider lending on unlicensed HMO properties, and where applicable, you should ensure the customer has made an application for a HMO license prior to submitting a case to us. The acting conveyancer should confirm the licensing status of the property.

The following forms of deposit/incentive are not acceptable:

• Help to Buy.
• Builder’s deposit - where the builder is offering any cash-based incentive (rather than a Builder’s second charge) e.g. discounted purchase price, stamp duty paid, legal fees paid, cash back after completion, mortgage paid etc. this will be deducted from the lower of the purchase price/valuation, and LTV will be calculated on the net figure.
• Purchase from a company in which the applicant has an interest.
• Forces Help to Buy.
• Ministry of Defence Loan.
• Cryptocurrencies - any deposit sourced via cryptocurrencies e.g. bitcoins, is not accepted.

Please see Vendor’s deposit, family purchase, and family gifted deposit for further information on these scenarios.

If originals are not available, we are able to accept certified copies of any ID and Residency documents, subject to the following:

• The documents must be certified and dated within the last 3 months by an independent professional; e.g. Broker (if FCA regulated), Solicitor, Accountant etc. and not by an applicant, guarantor or close relative.
  Where an applicant has been seen on a face to face basis:
  
  • All submitted documents must be certified as follows ‘I certify this is a true copy of the original’
  • Where the document contains a photograph it must also be certified as ‘a true likeness of the applicant’
  Where an applicant has been seen on a non-face to face basis:
  
  • All submitted documents must be certified as follows ‘I certify this is a true copy of the original’

The name of the person and employer/firm certifying the documents must be clear.

Please refer to our Anti Money Laundering Guidelines for full details of our ID and Residency validation requirements.

Where a copy of an applicant’s ID documents have been obtained via a digital ID solution, we will require a copy of the customer’s digital report from one of the following companies:

• Amiqus
• CallCredit / TransUnion
• Credas
• Experian
• Equifax
• GBGroup
• LexisNexis
• Onfido
• TrustID
• Yoti

If originals are not available, the following are acceptable subject to the documents being fully legible and the underwriter having no concerns in respect of authenticity:

• Photocopies
• Scanned images
• Photographic images
• Digital images

Precise Mortgages retains the right to request original documentation when considered appropriate.

In all cases applicants are required to commit their own funds to the transaction. Any vendor deposit will be deducted from the lower of purchase price/valuation and lending will be based on the net figure.

We are committed to ensuring that our customers are supported, especially those with vulnerable circumstances. If a customer may require support or adjustments to be made, please contact us on 0800 116 4385 (option 1) to discuss what we can do to help.

If we identify that a customer may be vulnerable, we will contact you or the customer to gain a better understanding of the circumstances and what appropriate help we may be able to provide.

We are able to consider lending to applicants that work abroad providing:

• They spend the majority of the year in the UK
• They are paid in pounds sterling
• They pay UK tax

Applicants who work abroad will be considered on an individual basis and be subject to the underwriter assessment.

Zero hour contracts are only permitted when the secondary applicant (i.e. not the main income earner) is employed on this basis. Payslips covering the last 6 months and the latest P60 are required. Eligible income is the lower of the average pay from the last 3 months / last 6 months.

When completing Bridging Finance, both Precise Mortgages and your customer will need a conveyancer to complete the necessary legal work associated with the transaction.

There are two conveyancing options available for your customer:

• Joint representation
• Separate representation

Click here for more details.

EU citizens are acceptable providing they have a 3 year UK residential history and must provide valid evidence that settled or pre-settled status has been granted under the EU Settlement Scheme. The evidence can be in the form of a Residence Card, or via the ‘View & Prove Your Immigration Status Online Checking Service’ provided by the UK Home Office. To use the UK Home Office checking service, the applicant is required to obtain and provide a ‘Share Code’ that will allow Precise Mortgages to check the applicant’s settlement status

A letter from the UK Government Home Office confirming settlement status cannot be used as evidence.

Settled status is awarded to EU citizens that can evidence a minimum 5 years’ of continuous residence in the UK, whereas pre-settled status applies to those who have not resided in the UK for 5 years. Those awarded a pre-settled status can apply for status once the 5 year residence requirement can be met.

Irish citizens are exempt from the EU Settlement Scheme, and so instead will need to provide documentation evidencing proof of Irish Nationality such as a Passport.

Where an applicant is from outside the EEA they must have been resident in the UK for the last 3 years and have permanent rights to reside in the UK. Proof of visa will be required. A maximum LTV of 60% will apply to non EEA citizens.

Properties that have any MMC components can be considered providing the property was constructed by one of the following companies:

• Barratt Developments
• Bellway
• Berkeley
• Bloor Homes
• Bovis Homes
• CALA Homes
• Crest Nicholson
• Galliford Try
• Persimmon
• Redrow
• Taylor Wimpey

A Multi-Unit property is a single structure that contains separate self-contained units or flats that are held on a single freehold title. Each unit must be completely self-contained and meet our property criteria in its own right, including minimum valuation and ICR calculations.

Applicant:

• Experienced landlords only.
• Available for Personal ownership and Limited Company applications.

Loan:

• Maximum loan amount – £1,000,000.
• The loan and rental calculations will be based on an aggregate of the individual unit values and rental values provided on the valuation report. If the valuation or purchase price is lower than the aggregated values, our lending will be based on the lower figure.
• Available for non-regulated bridging finance and refurbishment buy to let.

Property:

• Minimum valuation – £150,000 in London and £75,000 elsewhere (applies to each unit).
• Maximum of 6 units within a single block, each unit must have a separate tenancy agreement.
• New build properties and properties defined as an HMO are not acceptable.
• The property must be entirely on a freehold title, any property with separate leases will not be accepted.
• Each unit must have a minimum floor area of 30m².
• Multiple houses held on one freehold are not acceptable.
• Holiday Lets are not acceptable.
• Any adverse planning restrictions that could prevent the creation of leases are not acceptable.
• Available for properties in England and Wales.

Please note: AVMs are not permitted for Multi-Unit properties.

UK nationals are acceptable providing they have a 3 year UK residential history. EU citizens and foreign nationals from outside of the EEA must have been resident in the UK for the last 3 years and have permanent rights to reside in the UK. A maximum LTV of 60% will apply to non EEA citizens.

For further details select the relevant section:

• EU and Irish Citizens
• Foreign nationals

Our Non-Regulated bridging finance products offer borrowing solutions for property investors or landlords.

The following product features apply:

• AVMs available for standard bridging products
• Cross collateral charges can be considered
• Multiple bridging loans can be considered
• No maximum loan size
• Maximum term 18 months

Maximum of 4 applicants.

Limited company application – maximum 4 qualifying directors/shareholders with no limit on shareholders under the age of 25 subject to them being dependents of the Directors.

A portfolio landlord has 4 or more mortgaged buy to let properties or 3 mortgaged buy to let properties, plus at least 1 pending application with Precise Mortgages.

The following should be included in the number of properties a portfolio landlord holds:

• All mortgaged buy to let properties owned by the applicant whether jointly, in their sole name or by a company of which they are a director or shareholder
• Any property owned on a residential basis with Consent to Let
• If the applicant is a limited company, properties owned by the company’s directors and shareholders, or owned by other companies of which the directors/shareholders are a shareholder or director.

Unencumbered properties do not need to be included but may strengthen the overall portfolio.

As part of our underwriting process we will make an assessment of an applicant’s portfolio based on their individual circumstances and taking into account the impact of future interest rate increases.

We will require the following forms for all portfolio landlord applications:

• Business plan, cash flow and assets and liabilities form
• Existing property portfolio details

Minimum value: £75,000 (£100,000 in London postcode districts)

HMO properties minimum value: £100,000 (£250,000 in London postcode districts)

Our refurbishment buy to let proposition allows your customer to take advantage of the flexibility of bridging finance with the surety of an exit onto a buy to let mortgage once the property has been refurbished (providing there’s no change in circumstances and the property meets the expected valuation following refurbishment).

Our Refurbishment Buy to Let proposition is ideal for landlords who are looking to make changes to a property that can be completed within 6 months and which are either:

• Light Refurbishment or,
• works completed under Permitted Development Rights where there is no change to the footprint or structure of the property (categorised as heavy refurbishment).

Projects that will take longer than 6 months to complete should use our standard bridging proposition.

Each element of the loan should meet the relevant standard criteria. Customers must complete any refurbishment work within the buy to let offer validity period which will be 6 months from the valuation date.

Ideal for:

• Landlords looking to change the use of a property to a small HMO with up to 6 bedrooms.
• Landlords wishing to change the use of a garage to a habitable room.
• Properties needing works to meet the minimum EPC rating, such as boiler replacement.
• Properties purchased at auction that require light refurbishment to be acceptable for mortgage purposes.
• Landlords choosing to refurbish in order to maximise the rental yield of their property.

Click here to access our Refurbishment Buy to Let guide.

Please note, acceptance of the refurbishment project is subject to a full underwriter review to ensure it is in keeping with our Refurbishment Buy to Let product.

Our bridging finance products can be used where the security is intended to be used, or is currently used, as a residential home by the applicant or a family member.

The following product features apply:

• Cross collateral charges can be considered
• Multiple bridging loans can be considered
• No maximum loan size
• Maximum term 12 months

AVMs available for standard bridging products.

We will only accept advised sales on a retained interest basis.

We are unable to consider any property that may have a restricted occupancy clause within the planning permission, for example it can only be occupied for a maximum of 11 months in any one year. Property with unrestricted occupancy can be considered provided our normal requirements are met. Similarly, property that can only be used for retirement or sheltered accommodation is not accepted. This is the same for any property where a planning restriction (e.g. agricultural restriction) effectively limits a property’s appeal on the open market.

This is required on any application where a form of refurbishment is to be completed.

Click here to download a copy of the form.

To see an example of how this should be completed click here.

Where a company director owns 25% or more of the company shares, they will be treated as self-employed.

Applicants should normally have been self-employed for a minimum of 3 years.

Income verification will be required where an exit strategy is by way of refinancing a residential property. In all other instances we will contact you to request income verification if required.

If your customer wishes to use a conveyancer that is not on our approved panel to act on their behalf they are able to do so, but will be responsible for paying all the conveyancing fees involved on the transaction for both their chosen conveyancer and those acting on behalf of Precise Mortgages. We will require a conveyancer to be selected from the approved panel to act on behalf of Precise Mortgages. Click here for further details.

We are unable to consider any property purchased under any social housing schemes (e.g. Right to Buy, Shared Ownership, Key Worker etc.).

Additionally, we are unable to consider remortgaging any property purchased under any scheme where the original vendor retains any interest or where any pre-emption clause remains.

On some occasions we may require a specialist’s report for the property, these most commonly comprise of:

• Timber and damp, electrical, trees, cavity wall tie
• Mining report (for long term lending these are obtained by the solicitors and a special condition is imposed at offer)
• Drainage report

Any specialist report should be prepared by a reputable firm. We will contact you if any of these reports are required.

Short-term finance is secured on a property that is in a habitable condition and does not require any improvement. Examples of when standard bridging could be used are:

• When funds are needed quickly
• Meeting tight transaction deadlines
• Buying a property at auction
• Cash flow – funding for short term requirements
• Chain-break finance
• Landlords who want to make a quick purchase

In some instances a structural report may be requested by the surveyor.

Reports will only be accepted from members of the following bodies:

• The Institution of Structural Engineers (www.istructe.org)
• The Institution of Civil Engineers (www.ice.org.uk)

The report must be referred to the valuer for comment. If the report is not addressed to the applicant, written confirmation must be obtained from the originator that its contents may be relied upon by the applicant(s).

We will not lend on any property with either ongoing movement or where monitoring is required, where this is identified by either the valuer, or where evident in the structural engineer’s report.

Full requirements will be notified following case assessment however, the following identifies the standard requirements:

Freehold – Not acceptable for flats/maisonettes with the exception of Multi-unit properties.

Leasehold – Minimum remaining lease term is 70 years at the time of application.

Flying Freehold – A property with an element of Flying Freehold can be considered providing it does not exceed 10% of the total area.

Commonhold – Not acceptable.

If construction is non-traditional contact us for acceptability.

The following types of property are not considered acceptable:

• Live/work units or any property where commercial usage exceeds 20% will not be accepted.
• Any property affected by Japanese knotweed.
• Any property deemed unsuitable security by the valuer.
• Any property where there is ongoing movement/monitoring is required.
• Property where material environmental hazards are present.
• Property where saleability may be adversely affected by local planning or by an unsatisfactory mining search.
• We are unable to consider any property being purchased under any social housing schemes. We are unable to consider remortgaging any property purchased under any scheme where the original vendor retains any interest or where any pre-emption clause remains’.
• We will not lend where the property is affected by or within influencing distance of any significant factor which will have a negative impact on the property’s value or re-saleability (e.g. overhead pylons, sub stations, etc).

If the applicant requires urgent bridging finance, click here or further information.

If originals are not available, we are able to accept certified copies of any ID and Residency documents, subject to the following:

• The documents must be certified and dated within the last 3 months by an independent professional; e.g. Broker (if FCA regulated), Solicitor, Accountant etc. and not by an applicant, guarantor or close relative.
• Where an applicant has been seen on a face to face basis:
• All submitted documents must be certified as follows ‘I certify this is a true copy of the original’
• Where the document contains a photograph it must also be certified as ‘a true likeness of the applicant’
• Where an applicant has been seen on a non-face to face basis:
• All submitted documents must be certified as follows ‘I certify this is a true copy of the original’

The name of the person and employer/firm certifying the documents must be clear.

Please refer to our Anti Money Laundering Guidelines for full details of our ID and Residency validation requirements.

Where a copy of an applicant’s ID documents have been obtained via a digital ID solution, we will require a copy of the customer’s digital report from one of the following companies:

• Amiqus
• CallCredit / TransUnion
• Credas
• Experian
• Equifax
• GBGroup
• LexisNexis
• Onfido
• TrustID
• Yoti

If originals are not available, the following are acceptable subject to the documents being fully legible and the underwriter having no concerns in respect of authenticity:

• Photocopies
• Scanned images
• Photographic images
• Digital images

Precise Mortgages retains the right to request original documentation when considered appropriate.

Precise Mortgages will instruct the valuation in all instances.

We will aim to use an AVM where possible for standard bridging finance providing:

• The purchase price/property value does not exceed £1,000,000
• The loan has a gross LTV of 60% or below. When multiple properties are used as security, an AVM can be used for each property where the overall LTV is 60% or below.
• The AVM achieves an acceptable confidence level as determined by Rightmove.

We will notify you at DIP stage if your application qualifies for an AVM.

If an AVM cannot be used a physical valuation will be required.

AVMs are not available for:

• HMOs
• Multi-units
• Any property requiring an element of refurbishment (including refurbishment buy to let applications).
• New build properties or properties recently converted (built/converted in the last 24 months).
• Properties that have never been occupied.
• Properties with more than two acres of land.
• Properties built using Modern Methods of Construction.
• Commercial and semi-commercial properties.
• Properties above or adjacent to commercial properties.
• Flats.
• Leasehold properties with less than 85 years remaining on the lease.
• Listed buildings.
• Suspected poor condition.

Please note: Where more than 1 property is used as security for the loan we require each property to be valued. The charge for each valuation will be as per the table above. Once a valuation has been carried out the valuation fee is non-refundable. In all instances the valuation will be carried out on behalf of Precise Mortgages. All of the above valuation scale fees are inclusive of VAT (where applicable).

For applicants looking to utilise our Refurbishment Buy to Let proposition, separate rates and fees apply. View our Refurbishment Buy to Let guide for full details.