Commercial First has launched two mortgage products specifically designed for farming properties.
The first offers a self-cert income facility which, with a clean credit history, is available at 2% above three month libor at 55% LTV and 2.5% if the LTV is 65%.
The second product extends the LTV available to 70%, but will require the provision of accounts in order to qualify. Both products are available over a 30 year term with an introductory interest only period for the first three years.
Stephen Johnson, sales and marketing director at Commercial First, says: Feedback from our key broker partners has indicated strong demand within this sector.
We have found a number of farmers have good credit profiles but lack the requisite financial information for high street finance.
Self-cert is an important product feature for them. Most farmers are pre-occupied running the day to day business and are very much hands on. Producing detailed financial statements is increasingly irrelevant for them.
We are committed to growing our business and are looking at a number of other exciting market opportunities as part of our current five year strategy.