## BM Solutions Buy-to-Let Mortgage Guide 2025: Everything You Need to Know
If you’re considering investing in rental property, a BM Solutions buy-to-let mortgage could be the key to unlocking your portfolio potential. As one of the UK’s most recognised names in buy-to-let lending, BM Solutions—part of Birmingham Midshires—offers a range of competitive mortgage products tailored for landlords. Whether you’re a first-time investor or a seasoned landlord expanding your portfolio, understanding how BM Solutions operates in 2025 is essential.
This guide provides everything you need to know about BM Solutions buy-to-let mortgages, including eligibility, application steps, interest rates, required documents, and how brokers can help. We’ll also compare BM Solutions with other lenders and answer the most frequently asked questions to help you make informed decisions.
## Overview: Who Are BM Solutions and Birmingham Midshires?
BM Solutions is the intermediary-only arm of Birmingham Midshires, which itself is a division of Lloyds Banking Group. While Birmingham Midshires no longer offers new mortgage products directly to consumers, BM Solutions continues to serve the buy-to-let market exclusively through mortgage brokers.
### A Brief History
Birmingham Midshires has a long-standing history in the UK mortgage market, dating back to the 1980s. It became part of the Halifax Group in 1999, which later merged with Lloyds TSB to form Lloyds Banking Group. BM Solutions was established to focus specifically on intermediary-based mortgage lending, with a strong emphasis on buy-to-let products.
### What BM Solutions Offers
BM Solutions specialises in:
– Buy-to-let mortgages for individual landlords and limited companies
– Let-to-buy options
– Portfolio landlord solutions
– Interest-only and repayment options
– Online portal for brokers to manage applications efficiently
They are known for their competitive rates, streamlined application process, and consistent lending criteria, making them a preferred choice for many mortgage brokers and landlords across the UK.
## Eligibility & Requirements
Before applying for a BM Solutions buy-to-let mortgage, it’s important to understand the eligibility criteria and required documents. BM Solutions has specific lending requirements that differ slightly from other lenders.
### Who Can Apply?
BM Solutions offers buy-to-let mortgages to:
– UK residents aged 21 to 80 (must not exceed 80 at the end of the mortgage term)
– First-time landlords (subject to stricter criteria)
– Portfolio landlords (up to 3 properties with BM Solutions; more with overall portfolio assessment)
– Limited companies (via SPVs – Special Purpose Vehicles)
Note: BM Solutions does not currently lend to non-UK residents or expatriates.
### Income Requirements
– Minimum earned income: £25,000 per annum (excluding rental income)
– Joint applications: At least one applicant must meet the income threshold
– Rental income must meet a minimum Interest Coverage Ratio (ICR), usually 125%–145% depending on tax status and product type
### Acceptable Property Types
BM Solutions typically lends on:
– Standard residential properties
– New-build houses and flats (subject to LTV restrictions)
– HMOs (Houses in Multiple Occupation) – up to 5 bedrooms
– Multi-unit freehold blocks (MUFBs) – up to 5 units
They do not usually accept:
– Studio flats under 30m²
– Properties above commercial premises
– Non-standard construction
### Required Documents
Applicants will need to provide:
– Proof of identity (passport or driving licence)
– Proof of address (utility bill or bank statement)
– Proof of income (payslips, SA302s, or tax returns)
– Existing mortgage statements (for portfolio landlords)
– Tenancy agreements (if refinancing)
(See our full guide on mortgage eligibility criteria for more details.)
## Application Process Step-by-Step
BM Solutions operates exclusively through mortgage brokers, so you cannot apply directly. Here’s how the process works:
### Step 1: Find a Broker
Since BM Solutions is an intermediary-only lender, your first step is to engage a qualified mortgage broker who has access to their products. A broker will assess your financial situation and recommend suitable BM Solutions products.
### Step 2: Decision in Principle (DIP)
Your broker will submit a Decision in Principle (DIP) to BM Solutions. This involves a soft credit search and basic affordability checks. If successful, you’ll receive a provisional agreement subject to underwriting.
### Step 3: Full Mortgage Application
Once the DIP is approved, your broker will submit a full application. This includes uploading all required documents and property details.
### Step 4: Valuation and Underwriting
BM Solutions will instruct a property valuation (usually within 5–7 working days). Simultaneously, underwriters will assess your documents and application.
### Step 5: Mortgage Offer
If the valuation is satisfactory and underwriting is successful, BM Solutions will issue a formal mortgage offer. This is typically valid for 6 months.
### Step 6: Completion
Your solicitor will handle the legal work and coordinate with BM Solutions for a completion date. Once completed, funds are released to purchase or refinance the property.
### Timeline
The full process typically takes 4 to 6 weeks, depending on valuation and legal turnaround times.
## Rates & Fees
BM Solutions is known for offering competitive buy-to-let mortgage rates, but these vary depending on the product, loan-to-value (LTV), and borrower profile.
### Interest Rates
As of 2025, typical BM Solutions buy-to-let interest rates include:
– Fixed rates: Starting from 4.79% for 2-year fixes and 5.09% for 5-year fixes
– Tracker rates: Starting from 0.99% above the BM Solutions Standard Variable Rate (SVR), currently 7.25%
Note: Rates are subject to change and depend on LTV, property type, and borrower circumstances.
### Fees
– Product fees: Typically £999–£1,999 (can be added to the loan)
– Valuation fees: Free on many products, but may apply for HMOs or MUFBs
– Legal fees: Paid separately to your solicitor
– Early repayment charges (ERCs): Apply during fixed/tracker periods, usually 1%–5%
### Total Cost of Borrowing
Always consider the Annual Percentage Rate of Charge (APRC), which reflects the total cost over the loan term, including fees and interest.
(See our full guide to buy-to-let mortgage rates and fees.)
## Pros & Cons of BM Solutions Buy-to-Let Mortgages
### Pros
– Competitive interest rates for a wide range of borrowers
– Strong broker support and reliable underwriting
– Flexible criteria for portfolio landlords and limited companies
– Quick turnaround times for valuations and offers
– Online broker portal for efficient document submission
### Cons
– Only available through brokers—no direct applications
– Not available to expatriates or non-UK residents
– Limited lending on non-standard or unusual properties
– Strict income requirements for first-time landlords
## Alternatives & Competitors
While BM Solutions is a strong choice for many landlords, it’s worth comparing with other buy-to-let lenders to find the best fit for your needs.
### Key Competitors
– **The Mortgage Works (TMW)** – Part of Nationwide, offers flexible criteria and competitive rates for portfolio landlords.
– **Paragon Bank** – Specialises in complex buy-to-let, including HMOs and limited companies.
– **Precise Mortgages** – Ideal for borrowers with adverse credit or unusual property types.
– **Aldermore** – Known for flexible underwriting and support for portfolio landlords.
### Comparison Summary
| Lender | Portfolio Support | Limited Co. Lending | HMO Support | Direct Access |
|——————|——————-|———————-|————-|—————-|
| BM Solutions | Yes (up to 3+) | Yes | Yes (up to 5 beds) | No |
| TMW | Yes | No | Yes | No |
| Paragon Bank | Yes | Yes | Yes | No |
| Precise Mortgages| Yes | Yes | Yes | No |
| Aldermore | Yes | Yes | Yes | No |
(See our comparison of the best buy-to-let lenders in 2025.)
## FAQs
### 1. Can I get a BM Solutions buy-to-let mortgage as a first-time landlord?
Yes, BM Solutions does accept first-time landlords, provided you meet their income and credit criteria. However, they may apply stricter affordability checks and limit the maximum loan-to-value (LTV). A minimum income of £25,000 is required, and you must be a UK resident. Working with an experienced broker can help improve your chances of approval.
### 2. Does BM Solutions lend to limited companies?
Yes. BM Solutions offers buy-to-let mortgages to Special Purpose Vehicles (SPVs) registered as limited companies. The company must be set up with appropriate SIC codes related to property letting. Directors will be required to provide personal guarantees, and the underwriting process will include both company and individual assessments.
### 3. What is the maximum number of properties I can have with BM Solutions?
You can hold up to three mortgaged properties with BM Solutions. If you have more than three, they may still consider your application under portfolio landlord rules, which require a full assessment of your entire property portfolio, including rental income, mortgage balances, and overall gearing.
### 4. Can I remortgage an existing buy-to-let with BM Solutions?
Yes. BM Solutions offers remortgage products with or without capital raising. If you’re switching from another lender, they may offer free valuation and legal fees on selected products. Your property must meet their criteria, and your rental income must support the new mortgage.
### 5. What is BM Solutions’ stance on HMOs?
BM Solutions lends on small HMOs with up to five bedrooms, provided the property meets their valuation and licensing criteria
