BREAKING: Mortgage holiday extension to include landlords, HM Treasury confirms
Earlier today the ministry revealed that home owners could apply for mortgage holiday for a further four months, but has now told LandlordZONE that this is to include buy-to-let loans.
HM Treasury has confirmed that its mortgage holiday extension for home owners announced early this morning is to also include landlords with buy-to-let loans.
None of the guidelines and announcements earlier today from both the Financial Conduct Authority (FCA) and HM Treasury mentioned mortgage relief for landlords but, a Treasury spokesperson has confirmed that the extended mortgage holiday scheme will include buy-to-let products.
Also, like the home owner loans, landlords will be protected from having their properties repossessed if they fall behind in their mortgage payments, until the Coronavirus crisis is over.
HM Treasury and the FCA jointly announced this morning that home owners – and now landlords – are to be offered a three-month mortgage holiday for a further four months, although landlords should remember that the ‘holiday’ is in reality a payment deferment that accrues interest.
The original scheme was due to run out at the end of June but is now to finish at the end of October, although the FCA says property owners should return to paying their mortgages where possible.
The FCA is to consult with lenders until 26th May on the proposals and then introduce the extended schemes.
Source Landlord Zone, FCA (Financial Conduct Authority)