Whatever you may think of some of the individual policies, it has done its job in terms of generating a little more stability across the markets and even prompted lenders to integrate some much-needed rate cuts.
So, let’s take a look at some of these positive product movements across the buy-to-let sector.
Lenders launch fixed rates, lifetime trackers, discount rates
Precise Mortgages launched new buy-to-let lifetime tracker products, available up to 75 per cent loan to value (LTV), following the release of its fixed rate limited edition buy-to-let products.
The new limited edition range of both fixed and tracker products includes lifetime trackers from 4.99 per cent incorporating two options without early repayment charges (ERC) plus two-year fixed rates at 5.19 per cent and five-year fixed rates at 5.44 per cent.
Aldermore announced enhancements to its buy-to-let mortgage range. New buy-to-let two-year discount rates with a ‘switch to fix’ option are available at 5.98 per cent up to 75 per cent LTV with a £1,999 fee for individual or company landlords with single residential investment properties.
For houses in multiple occupation (HMO) and multi-unit freeholds, rates start at 6.48 per cent and for multi-property individuals and company landlords with single residential investment properties, rates start at 5.88 per cent.
CHL Mortgages relaunched five-year and two-year fixed rate products across its product ranges. All the fixed rate products are available up to a maximum of 70 per cent LTV, with a three per cent product fee.
Castle Trust Bank reintroduced its TermTen buy-to-let product. The revamped TermTen now offers two arrangement fee options.
Option one has an interest rate of 7.15 per cent up to 75 per cent LTV, with an arrangement fee of four per cent payable at completion. Option two has an interest rate of 7.25 per cent up to 75 per cent LTV, with an arrangement fee of 3.50 per cent payable at completion. Both options have a redemption fee of one per cent.
Zephyr Homeloans launched a new five-year fixed rate buy-to-let product. The lender is offering a rate of 7.10 per cent on a five-year fixed rate standard buy-to-let mortgage product at 65 per cent LTV for properties with an A to C rated Energy Performance Certificate (EPC) and 7.2 per cent on properties with an EPC rating of D and E, with both offers including standard flats above commercial properties.
Rate reductions and better processing introduced
Landbay reduced rates on all of its five-year fixed rate mortgages by up to 0.30 per cent and added two new products to its variable fee range. Standard five-year products up to 75 per cent LTV now start at 5.99 per cent with a four per cent fee, the 6.19 per cent rate has a fee of three per cent and at 6.39 per cent the fee is two per cent.
Vida reduced rates across its fixed rate residential and buy-to-let ranges by up to 1.20 per cent. The buy-to-let range is available up to 80 per cent LTV. The best rate is a Vida 48 five-year fixed term product at 80 per cent LTV, at 6.29 per cent. A two per cent product fee can be added to the loan above the maximum LTV. The fixed rate products are available for HMO/MUBs and expats and variable products are also available.
Quantum Mortgages introduced Switch to Fix and reduced its tracker rates. In addition, it has announced a new one-year discounted tracker product. The lender has also reduced its lifetime tracker, its two-year discounted rates and the ERC on its two-year discounted product.
From a processing standpoint, UTB Mortgages for Intermediaries made its online decision in principle (DIP) process available for all its buy-to-let products. Brokers are now able to see an immediate pass, fail or refer decision on the bank’s broker portal DIP results screen.
This new functionality, combined with existing features of the digital journey including remote ID verification and secure document upload via the UTB app, is said to accelerate and simplify the buy-to-let application process.
It’s proved to be a real shot in the arm for landlords and advisers to see a greater variety of activity emerge across the buy-to-let sector and let’s hope that rates continue to trend in the right direction in the later weeks of 2022 and into 2023.
