All applicants must be aged 18 or over, and they must be no more than 85 years old at the end of the mortgage term. Applicants must be no more than 75 years old at the date of application for purchases and remortgages. There is no maximum age at application for further advances, porting or transfer of equity cases.
Buy to Let loans are not available to first time buyers. A first time buyer is defined as an applicant that has never owned a property.
We require three years' UK address history for all applicants. Where an applicant is not able to provide three years’ UK address history, non-UK addresses should be recorded and the case reviewed on its own merits.
We allow up to four applicants on a mortgage application.
Applicants must currently be resident in the UK and have permanent leave to remain.
For non-UK nationals (i.e. EEA and Swiss Nationals), we will require evidence of two years' UK residency history. For non-EEA nationals each applicant must have been granted indefinite leave to remain or a right of abode to live and work in the UK.
Applicants must not hold any level of diplomatic immunity.
We will consider applications from applicants with previous CCJs, defaults or arrears, provided they do not exceed the limits in the Credit history matrix.
|Standard acceptable limits|
|Bankruptcy||Acceptable if discharged for at least 6 years|
|IVA||Acceptable if completed for at least 6 years|
|CCJs in last 6 months||None allowed|
|CCJs over 6 months up to 3 years||Less than £250 satisfied or not|
|CCJs over 3 years old||Considered on an individual basis|
Defaults in last 3 years
||Less than £250 satisfied or not|
Defaults over 3 years
||Less than £1,500 satisfied or not, may be considered on an individual basis|
Defaults in last 3 years
||Less than £250 satisfied or not|
Defaults over 3 years old
||Less than £1,500 satisfied or not, may be considered on an individual basis|
|Arrears in last year on unsecured debt||1 month's arrears are allowed|
|Arrears in last 3 year on secured debt||1 month's arrears are allowed|
Two forms of identification are required for each applicant - please see Identification and verification - acceptable documents
All documents used for verification must be originals or certified copies of documents that were originally printed at source and posted to the address of the applicant(s). Copies printed from the internet are not acceptable.
If you have examined the original document, you may certify the copy.
If you have not examined the original document, copies of original documents can only be certified by one of the following:
Copies of original documents should have been certified within the last 12 months using the following words: ‘I confirm that I have seen the original document’.
The person certifying should be in current employment, but we will also accept certification from a person who has retired (unless the list above specifically indicates that the person should still be serving), provided they still hold the qualification (and are a member of the relevant institute).
The person certifying must not be related to you in any way e.g. spouse, partner, sibling, parent, child or in-law, and they must not be named as a joint account holder/borrower on your mortgage. You cannot certify your own identification.
Please note, these lists are not exhaustive. Please contact the Intermediary Development Team on 0800 121 7788 (selecting option 2) for further clarification.
No minimum income is required.
|Type of employment||Proof of income|
(including Limited Liability Partnerships paid via PAYE, Zero Hour Contracts)
(including zero hour contracts)
|Self Employed - Sole Trader, Partnerships (including Limited Liability Partnerships) and Sub-contractors||
Latest financial year should be no older than 12 months at the date of application.
The documentation may show the latest financial year up to 18 months old at the date of application when supported with the latest six months' personal bank statements.
|Directors with less than 20% share in the Company||
|Directors with 20% or more share in the Company||
Latest financial year should be no older than 12 months at the date of application. The documentation may show the latest financial year up to 18 months old at the date of application when supported with the latest six months' personal bank statements.
Accountant's certificates should be prepared by an Associate or Fellow of an approved accountancy body:
The minimum rental income required from the property is established using the relevant Interest Coverage Ratio (ICR), based on the Society's applicable reference rate.
Rental income is assessed using the figure provided in the valuation report, based on the property being let on a single unfurnished AST agreement, to a sole occupant/single family or for up to four individuals on a single unfurnished AST agreement where the property is suitable for a single family unit occupancy.
|Reference rate||Customer Type|
(inc. additional borrowing)
|Remortgage with no additional
|Product||2 Yr BBR Tracker||5.5%||5.0%|
|Flexx for Term|
|2 Yr Fixed|
|3 Yr Fixed|
|5+ Yr Fixed||5.0%*|
If each applicant's individual income is less than £40,000 (including all gross income, total gross monthly rental income on this application and all other investments), and all applicants declare themselves to be a non-taxpayer or basic rate tax payer the minimum rental income required is 125% of your client's monthly mortgage interest payment on a reference rate of up to 5.5%*, based on the chosen product.
If any individual applicant's income is £40,000 or more (including all gross income, total gross monthly rental income on this application and all other investments), or if any applicant declares themselves to be a higher rate or additional rate tax payer, the minimum rental income required is 140% of your client's monthly mortgage interest payment on a reference rate of up to 5.5%*, based on the chosen product.
*Where the total loan has 5 years or more remaining on a Fixed rate product, or for remortgage applications with no additional borrowing, the reference rate is currently 5.0%.
The property must be let on a single assured shorthold tenancy agreement for a minimum term of 6 months.
In England and Wales, the maximum term for a tenancy agreement is up to 36 months; where the tenancy agreement is between 12 and 36 months a DCLG tenancy agreement must be used.
In Northern Ireland, the maximum term for a tenancy agreement is 12 months.
For properties in Scotland, there is no maximum tenancy term.
The property must be let to either a:
Where the property is let to a Corporate Body in England and Wales (this includes Educational Establishments, Housing Associations or Local Authorities) the maximum term of the tenancy agreement between the Corporate Body and the occupier(s) is up to 36 months and; where the tenancy agreement is between 12 and 36 months a DCLG tenancy agreement must be used.
In Northern Ireland the maximum term for a tenancy agreement is 12 months.
For properties in Scotland there is no maximum tenancy term.
Tenants must not hold any level of diplomatic immunity.
We only lend on licensed HMO properties in Scotland.
Any other HMO properties, whether they are subject to a mandatory license or not, are not permitted.
A portfolio landlord is/are clients with four or more Buy to Let mortgaged properties, either together or separately, in total.
Specific criteria includes:
Any totals or limits refer to the Coventry Building Society Group, not per company.
The maximum number of rental properties a household can have in mortgage with us is three in total.
The maximum number of rental properties a household can have in mortgage with all lenders is ten.
Properties with more than one kitchen or designed or converted for multiple occupancy are not acceptable.
For more information see the HMO and Licenced HMO Properties section
Properties must be situated in England (including the Isle of Wight), Wales (including Anglesey) or Scotland (including the Scottish Isles).
Freehold (also known as Feuhold, heritable or absolute ownership) tenure is acceptable for houses, bungalows and cottages in England, Wales and Scotland.
Freehold (including the previous Feuhold and Heritable Security Tenures) is the only acceptable tenure for properties in Scotland.
Leasehold tenure is acceptable for houses, bungalows and cottages in England and Wales.
Leasehold is the only acceptable tenure for flats and maisonettes in England and Wales.
Leasehold tenure is acceptable provided:
Properties must be built of brick or stone with a tile or slate roof. For flats, we will also accept a flat mineral felt roof. The mortgage valuation will be used to confirm the suitability of the property.
Single skin brickwork is only acceptable for garages and porches provided they are single storey, or a small proportion of the habitable area subject to valuer’s guidance.
We will consider steel framed properties provided that they were built on or after 1 January 1990. The cladding must be predominantly (67%) either brick or stone at all levels. Outer cladding specifically excluded includes large concrete panels, timber, plastic, metal sheeting, and tiles. However, areas of less than 33% of the total external wall area formed in these materials may be considered on their own merits provided that the remainder of the walls are constructed of an acceptable material.
Timber framed properties built after 1990 can have up to a maximum of four storeys considered.
Timber framed properties built after 1945. Cladding must be predominantly (67%) of either brick or stone at all levels. Outer cladding specifically excluded includes large concrete panels, timber, plastic, metal sheeting, and tiles. However areas of less than 33% of the total external wall area formed in these materials can be considered on their own merits if the remainder of the walls are constructed of an acceptable material.
Timber framed construction built pre 1995 up to two storeys maximum and post 1995 up to four storeys maximum. The outer skin must be predominantly (67%) either brick, concrete block or stone block at all levels.
Please note, the information above outlines our general construction criteria. If you have a specific query, please contact our Intermediary Development Team on 0800 121 7788 (selecting option 2).
Applications where solar power panels are installed on the property being purchased, or remortgaged, are acceptable, subject to the valuer confirming the property is suitable security, and where the solar panels have a lease the acting conveyancer confirms that the lease is acceptable.
Flats above shops are restricted to a maximum LTV of 75% and dependent on the nature of the business, we may not be able to lend at all.
We will not consider a mortgage application for ex-local authority flats or ex-housing association flats:
The loan to value on ex-council or housing association flats or maisonettes is restricted to 70%.
We also will not consider the following:
Maximum LTV, criteria, and definition for new build flats, can be found within new build properties (less than or equal to three years old, or first occupation).
The maximum loan to value for a new build or converted apartment, flat or coach house is 50% LTV.
We define new build as properties that have been built within three years of the mortgage application or are properties to be occupied for the first time. This includes flat conversions where the number of flats in the development exceeds ten.
The maximum loan to value for a new build house is 85%. Please refer to the specific mortgage product details for maximum Buy To Let LTV limits.
We define new build as properties that have been built within three years of the mortgage application or are properties to be occupied for the first time.
Any new build properties must hold either:
Second hand properties under ten years old must have been built with the benefit of an acceptable builder's guarantee scheme subject to the following exception:
For both new and converted properties the legal representative must confirm:
The vendor of any new property is required to disclose the full value of any incentive in connection with the purchase of the property.
Where we are notified of any incentives, the value of the incentives will be deducted from the purchase price to ascertain the net purchase price. The maximum loan and mortgage offer will be based on the net purchase price.
For purchase applications, the vendor must have owned the property for a minimum of six months.
Our ability to lend may be restricted for properties that are in close proximity or influential distance of commercial outlets. We will take advice from our valuers when assessing the property to be mortgaged.
Applications are not considered where the property offered for security is a self-build property or a self-build conversion, where the construction or conversion of the property is not fully completed at the time of application.
Applications where it is identified that the customer owns more than 10% of the development, in which the proposed property will be located, will not be accepted.
Where there are ten or less properties on the development or estate, if the applicant already owns one or more properties in the development or estate, we will not consider lending under these circumstances.
Properties affected by Japanese knotweed, RICS categories 1 and 2, are acceptable subject to a satisfactory valuation report.
Category 1 – Japanese knotweed was not seen on the property, but it could be seen on a neighbouring property or land where it was more than seven metres away from the boundary.
Category 2 – Japanese knotweed was not seen on this property, but it was seen on a neighbouring property or land within seven metres of the boundary but more than seven metres away from habitable spaces, a conservatory and/or a garage.
Properties affected by Japanese knotweed that do not meet the above criteria are unacceptable.
The minimum advance is £25,001.
|Up to 50%||£1,000,000|
|Over 50% - 75%||£500,000|
We will consider applications for the following loan purposes providing the application meets all our lending criteria:
This list also applies to properties that are currently unencumbered.
We will not accept applications for the following:
For property purchases applicants must provide a deposit from their own resources.
The following exceptions apply:
Maximum repayment term requirements apply to all loan types. The maximum repayment term is 35 years.
The maximum term may be restricted by the maximum age restrictions.
The following repayment types are acceptable:
Offers of advance for purchases (including Transfers of Equity) are valid for a period of six months from the date of application.
Offers of advance for remortgages and further advances are valid for a period of four months from the date of application.
Please note: Where there is a simultaneous request for a further advance and a transfer of equity, the Transfer of Equity offer will be valid for 6 months and the further advance offer will be valid for four months.
Mortgage offers will not be extended, completion of the mortgage must take place by the mortgage offer expiry date.
The property must have been owned by the applicant(s) for a minimum period of six months prior to application date, except where the property has been inherited by the new owners. Applications to remortgage a property currently used as a main residence on a Buy to Let basis are not acceptable.
We accept the following loan purposes (subject to loan amount and LTV limits):
Portability means that your client can move (or 'port') their existing mortgage scheme to purchase a new property.
Our porting policy varies according to the customer's type of mortgage scheme. Please contact the Intermediary Development Team on 0800 121 7788 (selecting option 2) for any porting queries.
We require the following information:
We will also ask the following questions: