Coventry for Intermediaries make changes to their BTL Interest Cover Ratio (ICR) policy and 5 Year Fixed reference rates

Mortgage

​Kevin Purvey, Director of intermediaries, explains “With more clients potentially benefiting from the ICR of 125%, and with the reduction in the 5 Year + Fixed reference rate, they could borrow more than anticipated, depending on their circumstances.”

Article date: 23/11/2018


Here’s what’s changing, they’re:

  • Increasing the total gross  income band for 125% ICR from less than £40k to less than £42.5k 
  • Increasing the ICR from 140% to 145% where total gross income is £42.5k and above
  • Reducing the reference rate on 5 Year or more Fixed products from 5% to 4.5%
“Our ICR policy remains clear and straightforward, In addition, there’s no minimum income or minimum time in employment required.”

Read more about their BTL ICR changes here.

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