Birmingham Midshires (BM Solutions)

What type of mortgages do they offer?

BM Solutions has become known for offering all kinds of buy-to-let mortgages on an intermediary-only basis, which means you can only apply for their products through a mortgage broker. Their product range includes: 

• Buy-to-let mortgages
• Let-to-buy arrangements
• Product transfers
• Further advances for existing customers
• Green buy-to-let mortgages

BM Solutions' buy-to-let mortgage product line features a wide range of fixed-rate deals with introductory periods ranging between two and five years. The lender is also offering let-to-buy deals with the same product type and introductory rates periods.

In addition to this, BM Solutions offers product transfers and further advances for existing customers, all done through mortgage brokers. They also offer exclusive deals for portfolio landlords and will allow top slicing for customers who fit the criteria.

Teito can help you access BM Solutions' products. Our advisors have deep working relationships with this lender and might be able to arrange an exclusive deal for you

What mortgage rates are available?

Examples of the kind of mortgage rates that BM Solutions are offering at the time of writing (September 2024) include: 

• Standard Variable Rate (SVR): 9.59% 
• 5-year fixed rate BTL mortgage: A fixed rate product with an initial interest rate of 4.31% for 5 years. The maximum loan to value (LTV) is 50%, and the product fee is £3,999. 
• 2-year fixed rate BTL mortgage: A mortgage with a rate of 3.63% for the initial rates period, and then the lender's standard variable rate after that. The maximum LTV is 50%. 

How they calculate affordability

For their buy-to-let mortgages, BM Solutions has a minimum rental cover ratio requirement of 125% for basic rate taxpayers, and 145% if one or more of the applicants are additional/higher rate taxpayers.

For portfolio landlords, the rental cover ratio requirement is 145%, stressed at 5.5%.

Other eligibility requirements

As well as satisfying the lender's requirements for projected rental income, landlords need to meet the following criteria to get approved for a buy-to-let mortgage at BM Solutions:

• LTV: The maximum LTV is 75%, meaning you would need a deposit of at least 25%. This drops to 65% for loans between £1 million and £2 million, and where the EPC rating is A, B or C
• Landlord experience: Not required. Will lend to first-time landlords with the same LTV caps in place
• Property: Will lend on various property types, including HMOs and studio flats, but certain types of non-standard construction, such as timber or metal framework where the cavity between frame and cladding has been retrospectively filled with an insulation material, will trigged an automatic rejection
• Age: The eldest applicant cannot be aged over 75 at the time of application, or 80 by the end of the term
• Terms: Term lengths of up to 40 years are available
• Credit history: BM Solutions offer bad credit buy-to-let mortgages under the right circumstances, using credit scoring and assessing the circumstances surrounding the adverse when making their final lending decision

Does BM Solutions have good reviews?

BM Solutions currently holds a score of 1.3/5 on review service TrustPilot, but has fared better elsewhere, scoring an above-average 3/5 on Smart Money People. These reviews also take into account feedback about the lender's products for savers, as well as its buy-to-let mortgage line.

Pros and cons

The table below highlights the advantages and disadvantages of BM Solutions mortgage range at a glance to help you decide whether they are the right lender for you.

How to compare BM Solutions mortgages

You will need a mortgage broker to apply for a BM Solutions mortgage, so speaking to one is the ideal place to start when comparing their product range. One of the main benefits of using a broker is that they can help you compare BM Solutions' buy-to-let offerings with every possible alternative.

This is a better option than limiting yourself to one lender or attempting to compare deals yourself. Our brokers have access to the entire market, as well as in-depth knowledge of BM Solutions' product range, so you can rest assured that you have the best chance of securing the most suitable mortgage for your needs.