Buy to Let Club launches Precise limited company exclusive

“We saw an unusually high number of limited company applications in June this year totalling 22% of our packaged cases and July has proved to be another strong month,” said Ying Tan, managing director of Buy to Let Club.

He added: “We are seeing limited company rates falling as competition in the market heats up in preparation for the tax changes in 2017 and landlords are clearly taking advantage of this.”

The surge in activity by limited companies has become a feature of the market and in July, Mortgages for Business reported that lending via limited companies accounted for 30% of all buy-to-let loans in the first half of 2016.

Kent Reliance has predicted the figure could hit 40% by the end of the year.

To support this trend in the market, Buy to Let Club has secured a limited company exclusive from Precise Mortgages. The product offers a 3 year fixed rate of 3.54% until 31 October 2019. The maximum loan to value is 75% and there is an arrangement fee of 1.5%. Early repayment charges are 3% until 31 October 2017, followed by 2% in the following 2 years. At the end of the fixed rate period, the borrowing is charged at LIBOR plus 4.42%.

Alan Cleary (pictured), managing director of Precise Mortgages, added: “We work closely with Buy to Let Club in mortgage product design and this type of product is growing in popularity and I expect it to be a popular choice amongst brokers and landlords.”