Catalyst has launched Latitude Buy To Let; a product designed for landlords who fall outside mainstream lending.

Latitude has a 100% interest cover ratio (ICR) plus unlimited top slicing. Every application is manually underwritten.

The product caters for unusual and complex property types, including holiday lets and Airbnbs.

House in Multiple Occupation (HMOs) – with no limit on bedrooms, and Multi-Unit Freehold Blocks (MUFBs) under 10 beds, are assessed on aggregate value, over 10 beds on block value.

Semi-commercial property is accepted, as are flats above and adjacent to commercial property. Vacant property is accepted, in this instance, three-months interest will be retained. Light refurbishment is allowed.

Catalyst accepts a wide range of borrower types including professional, portfolio and first-time landlords. They lend to individuals, limited companies, LLPs, offshore limited companies, SPVs and trusts.

Ex pats, foreign nationals from EEA/non-EEA are accepted. There is no minimum income requirement and borrowers can be retired. Clients with adverse credit are also catered for.

Loans are made to 75% LTV and fixed rates are from 9.50% pa.  There are no early repayment charges (ERCs)/exit fees.

Catalyst chief executive Chris Fairfax says: “Latitude is designed to help potential customers who fall through the gaps of mainstream and specialist mortgage lenders. We believe our acceptance criteria is wider than most and will support intermediaries in providing a mortgage solution for a maximum of two-year term without any ERCs, so they are free to move at any point without incurring a charge”.

According to Fairfax this product is significant right now and will remain in the medium term. “Latitude will potentially solve hurdles created through a fast-moving change to interest rates and values and the knock-on effect to other lenders’ criteria narrowing.”