You are here: Home - Better Business - Business Skills -

Ying Tan’s BTL round-up: ‘Lenders have been busy ringing in the changes’

by: Ying Tan, managing director of Buy to Let Club
  • 08/05/2017
  • 0
Ying Tan’s BTL round-up: ‘Lenders have been busy ringing in the changes’
Theresa May’s decision to call a snap General Election took the nation by surprise and diverted much of the mortgage industry’s attention away from the implementation of the buy-to-let tax changes.

April may have been the month the new system came into play, but by the 18th all eyes were on Westminster and looking ahead to June 8th.

Still, the buy-to-let market stops for no man and lenders have been busy ringing in the changes with a range of product launches, rate cuts and even a rebrand.

 

Rate moves

Accord announced it was responding to the market and will now accept applications for consumer buy to let including flats above commercial properties and flats above six storeys.

Leeds Building Society launched a range of new buy-to-let products including a fees assisted two-year fixed rate at 2.50% up to 70% loan-to-value (LTV) and a two-year fix with no early repayment charge, available up to 60% LTV at 2.34%.

Metro Bank headed into spring with some good news for limited company and LLP borrowers, revealing it would be reducing its interest cover ratio from 140% to 125% stress tested at a 5.50% interest margin as well as reducing rates across its portfolio buy to let range.

 

Rebrand and resi launch

Meanwhile, Foundation Home Loans announced it has completed its rebrand and launched into the residential lending space. The lender said its range is designed for clients who may have experienced a minor blip on their credit rating in the past.

I’m sure the specialist approach that Foundation has taken in the buy-to-let market will prove to be just as successful in the residential sector.

Elsewhere, Kent Reliance announced it was hiking its buy-to-let five-year fixes, with rates now starting from 3.89%, Virgin launched its lowest ever buy-to-let five-year fixed rate, available up to 60% LTV at 2.37% with a £1,995 fee and £500 cashback.

Aldermore lowered the stress rate and reversion rates on its five-year fixed rate buy-to-let mortgages. Its new affordability stress rate for five-year fixes is now the higher of the pay rate or the reversion rate + 0.75%.

There are 0 Comment(s)

You may also be interested in

Business Skills

In this section, we offer short ‘how to’ guides on harder to crack areas of business. From social media, to regulation or niche product areas, we cover it all.

Profiles

Our journalists interview key industry entrepreneurs, strategists and commentators for day-to-day market insight and a strategic view of where the industry is heading. We offer lessons for success and explore the opportunities for your business

Success in Practice

Here, we share case studies fleshing out best practice to help you decide what could work for your business. Take a look at how others approached complex tasks like launching a new mortgage lender, advising on a new product area or deciding to specialise in another. Learn from others mistakes and triumphs.

Marketwatch

Each week, we ask top mortgage and property commentators with a unique perspective to examine a key news headline, market move or regulatory or political issue.

Poll

Vote in our weekly poll here. It’s your chance to tell us what you think and be heard on the top news stories of the week. Review our archive to find out what your industry really thinks and all our coverage of the results.

Top Comments

Be part of the conversation on Mortgage Solutions. We want to hear from you. We have a tool called Disqus to tell us which stories get the most comments each week. Every Friday, the team picks the most thoughtful or opinionated contributions from our readers to enjoy again. Don’t forget to share your favourite stories from the site on social media to keep the conversation going.
  • 'There is no value if brokers are just order taking' – Star Letter 16/11/2018 - https://t.co/zyuWGOhRX7
  • The Mortgage & Protection Event is finished for 2018 - fantastic event this year! Thank you to all our sponsors & s… https://t.co/P8sIJe8zI9
  • Equity release advisers must pre-empt and debunk scare-mongering tactics – Barker - https://t.co/4LEgUmz1rF
  • RT @robjupp: Great day yesterday for donations to @MortSleepOut. With Gift Aid, we are now close to £17,000. It would be great to get to £2…

Read previous post:
head shot of Steve Ellis
High time brokers reconsidered lifetime mortgages

Ask yourself this question: What is the biggest appreciating asset I own? I very much doubt that for the vast...

Close