But that’s not to say demand has dried up completely or that lenders have taken their foot off the gas. Far from it. New products continue to be launched, ranges refreshed and criteria tweaks made. None more so than in the buy-to-let sector.
In a bid to tap into borrowers looking for greater longer-term security, Virgin Money launched a new 15-year residential fixed rate product and introduced seven- and 10-year fixed rate deals into its buy to let (BTL) range.
The seven-year fix is available at 60 per cent and 75 per cent LTV across all fee options, starting with a headline rate from 2.36 per cent. The 10-year fix is also offered at 60 per cent and 75 per cent loan to value (LTV) levels across all fee options from 2.46 per cent.
Saffron Building Society enhanced its range of limited company BTL mortgages. It has introduced a new five-year fixed product and improved rates and reduced arrangement fees on its two-year limited company BTL mortgages.
Highlights include a two-year 2.97 per cent fixed rate limited company BTL product at 75 per cent loan to value (LTV). And a five-year 3.47 per cent fixed product at 75 per cent LTV, with rental cover at 125 per cent of pay rate.
Leeds Building Society has cut its rates on some of its five-year BTL mortgages by up to 0.45 per cent. Changes will see the Leeds offer a 2.49 per cent five-year BTL mortgage up to 60 per cent LTV with £1,000 cashback (0.45 per cent reduction).
Paragon refreshed its BTL switch and further advance product range for portfolio and non-portfolio landlords. It added a range of two- and five-year fixes available at 75 per cent and 80 per cent LTV for individuals, limited companies and limited liability partnerships.
Additionally, Paragon increased procuration fees on switch products from 0.25 per cent to 0.30 per cent. Further advance proc fees remain at 0.50 per cent.
Foundation Home Loans has reduced rates on selected five-year fixed BTL products by up to 0.10 per cent. It has made cuts across its core BTL F1 and F2 product ranges, which apply to both limited company and individual BTL clients. Rate changes have taken place on Foundation’s five-year remortgage special, which includes a free standard valuation and £250 cashback upon completion.
In a positive criteria change, BM Solutions has increased the maximum number of BTL mortgages from three to five with Lloyds Banking Group, and the maximum value of BTL mortgages from £2m to £3m. The portfolio limit will remain at 10.
Many of these recent changes are compelling options for a range of landlords and will help intermediaries support those who are looking to get off the borrowing fence to snap up some highly competitive deals that match their ongoing needs.