Leading specialist mortgage lender announces new scheme to enhance energy efficiency

The OSB Group have launched a £50m Landlord Leader Fund to help landlords upgrade their properties to become more energy efficient. 

Established in 2011, the leading specialist mortgage advisor has announced the £50m fund after completing some research which suggests, buy-to-let landlords would benefit from making sure their properties don’t let out too much heat. 

Against the backdrop of the current energy crisis, keeping as much warmth in people’s homes is more valuable than ever. 

As well as keeping homes warm, switching to using more energy efficient measures means properties will become more sustainable. Research completed by OBS discovered 44% of brokers believe their biggest challenge to be complying with new environmental requirements, after tenant affordability due to the rising cost-of-living. 

Experts also found landlords, whose main income is sourced from lettings, were more likely to already be upgrading their property portfolios to make them more environment-friendly, suggesting greener upgrades in the sector have been desirable for a while.

The new fund that has been announced will help properties transition their energy ratings to a C or above – anything below a band C is marked as inefficient and unsustainable. 

As well as launching their new scheme, OSB are also set to introduce a new energy efficent products for houses in 2023, which will be delivered through their new fund. The organisation will provide loan-to-value ratios and interest covered ratios that will help landlords who are already struggling with the rising cost of inflation. 

Andy Golding, Group Chief Executive of the OSB Group said, ‘The time has come for the Private Rented Sector to seriously consider what is next. We are on the precipice of change which will create significant benefits for tenants, but at what cost?

‘There is an opportunity for the industry to rise to this new challenge and help support both professional and part-time landlords to ensure the industry thrives and continues to focus on its tenants.  

‘OSB Group is proud to partner with and support brokers, landlords and tenants across the industry and hope that the measures we plan to implement over the next couple of years will continue to drive positive, tangible change across the industry.’   

Photo by Maximillian Conacher