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Race is on to avoid Q1 countdown – Ying Tan

by: Ying Tan, founder and chief executive, Dynamo
  • 28/09/2020
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Race is on to avoid Q1 countdown – Ying Tan
As we enter Q4, the race is on for homebuyers and landlords to push through transactions to ensure they don’t risk getting caught up in the Q1 countdown to the closing of the stamp duty window.


To be honest, I’m not sure where to start when it comes to buy-to-let (BTL) product-related news as it has been so fast and frenetic – and apologies in advance to any lender if I’ve missed anything but here goes.


Precise and Vida

Precise Mortgages has reduced rates across its buy-to-let range by up to 0.40 per cent.

The lender’s two-year fixed BTL and limited company BTL mortgages are now set at 3.14 per cent, and the two-year fixed houses in multiple occupation (HMO) and limited company HMO mortgages are at 3.44 per cent.

Its five-year fix buy-to-let and limited company BTL mortgages have a rate of 3.49 per cent, with its five-year fixed rate HMO and limited company HMO mortgages coming in at 3.74 per cent.

The products are all available for purchase and remortgage.

Vida Homeloans has launched Vida Flex, a mortgage product aimed at professional and first-time landlords.

The product allows borrowers to fix for five years with the option to leave after three years at no cost, whether that be to refinance or sell their property.

It is available at up to 75 per cent loan to value (LTV) and rates start at 3.84 per cent.


Landbay and Foundation

Landbay has reduced the rate on its Special Edition two-year fixed rates for both 60 per cent and 70 per cent LTV by 14 and 10 basis points respectively.

It has expanded its product offering with a new 70 per cent LTV standard five-year fixed rate and reduced the rate for its 75 per cent LTV standard five-year fixed product from 3.74 per cent to 3.69 per cent.

All the rates are available for loan sizes up to £1.5m and apply to standard properties.

Foundation Home Loans has reduced its BTL rates across all product tiers and property types.

Its 80 per cent LTV two-year fix has been cut from 4.29 per cent to 4.09 per cent and is available to F1 borrowers.

Looking to HMO products, the 75 per cent five-year fix has been reduced from 4.54 per cent to 3.94 per cent for properties with up to six occupants, and from 4.64 per cent to 4.04 per cent for properties with up to eight bedrooms and all multi-unit blocks to a maximum of 10 units.

The lender has also slashed rates on products within its short-term let range, with the 65 per cent two-year fix reduced from 3.59 per cent to 3.49 per cent and the 75 per cent LTV five-year fix from 4.64 per cent to 4.54 per cent.

The new offerings are available for individuals and limited companies.


Bucks BS and NatWest

Buckinghamshire Building Society has reintroduced its ex-pat buy-to-let product.

The offering is a 70 per cent LTV two-year discount at 3.99 per cent available to individual landlords including first-time landlords or limited companies.

It includes a product fee of £999 and early repayment charges (ERCs) are set at one per cent for the first year, dropping to 0.5 per cent during the second.

NatWest has made rate changes across its existing customer range for both residential and buy-to-let products.

Focusing on the BTL element, NatWest has made rate reductions of up to 35bps and 50bps across its two-year and five-year BTL deals.


Pepper and Kent Reliance

Pepper Money has reduced rates by up to 0.40 per cent across its buy-to-let range.

The biggest reduction is on the Pepper48 product up to 70 per cent LTV, which is now 3.30 per cent. In addition to these rate reductions, Pepper Money has also introduced a new flat fee option and a series of criteria improvements.

The specialist lender is now able to consider unsecured missed payments within the last twelve months and has lifted the cap on CCJs and defaults, meaning there is now no cap on either volume or value.

Finally, Kent Reliance for Intermediaries has launched new buy-to-let products designed to support the limited company landlord with rates from 3.04 per cent.


I did warn you, and I suspect that there are more to follow in the coming days and weeks – so watch this space.



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