Kensington launches new self-cert mortgage

Kensington has claimed that it is helping first-time buy-to-let investors by increasing the range of self-certified mortgages available to them.

The lender's self-cert buy-to-let mortgage is aimed at those homeowners who do not need to rely on rental income to cover their repayments as their personal income is sufficient to service another loan.

According to Kensington, traditional lending criteria consider rental income as a crucial factor in judging the affordability of a loan.

Fewer investors are able to enter the buy-to-let market on these criteria owing to rising interest rates and house price inflation, the firm claims.

Ian Giles, director of marketing at Kensington, said: "There continue to be real opportunities presented by buy-to-let, but with house prices continuing to increase, interest rates rising and rental yields remaining fairly static, it is becoming much harder for new investors to enter the market.

"Kensington have recognised this and built a product to help more borrowers benefit from the sector."

Mr Giles said the lender's new self-cert mortgage will "empower a new breed of investor" and be the precursor of a number of new and innovative products from Kensington.

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