The Mortgage Works is introducing a Decision in Principle (DIP) for Limited Company purchase and remortgage applications.
This is the latest in a line of enhancements made by TMW to improve its application process and ensure lending decisions are made quicker, such as the Companies House pre-application check introduced earlier this year.
TMW is further improving its Limited Company shareholder policy by allowing minority shareholders with a holding of 20% or less.
A limited company can have up to four minority shareholders (with a maximum combined holding of 25%), and they do not need to be part of the mortgage and won’t be credit assessed or required to sign a personal guarantee.
It is making improvements to the existing DIP process to speed up the purchase and remortgage application process for brokers and landlords.
Applications with The Mortgage Works will now see DIPs leave a soft footprint on a landlord’s credit file. A hard footprint will only be left on the credit file once the full application is submitted.
A TMW spokesperson says: “The changes we’re announcing today are based on feedback we’ve been getting from brokers in recent months. And, continuing our longstanding support for the limited company market, we’re also making enhancements to our limited company application process to ensure The Mortgage Works remains front of mind for those landlords.”
This article is taken from Landlord Today