So, without further ado, let’s take a look at a selection of the numerous, and largely positive, moves being made across the sector.
Falling rates
Accord Mortgages reduced its buy-to-let product rates by up to 0.18 per cent. For remortgages, two-year fixed rates have reduced to 5.24 per cent and five-year fixes to 4.98 per cent at 60 per cent loan to value (LTV).
Landbay made further cuts of up to 30 basis points on its five-year fixed rate special edition buy-to-let mortgage range. Rates start at 4.29 per cent and the reductions apply to standard properties with LTVs of 55 per cent, 65 per cent and 75 per cent. There is a variable fee structure of between two per cent and seven per cent to help with affordability and passing interest coverage ratio (ICR) requirements.
Coventry for Intermediaries launched two-year fixed rates for existing buy-to-let customers following broker demand for shorter-term options. Rates are available across 50 per cent to 75 per cent LTV for both buy-to-let and portfolio landlord customers.
Zephyr Homeloans introduced a range of tracker mortgage products including a standard lifetime tracker at 6.20 per cent (bank base rate (BBR) + 2.70 per cent) up to 65 per cent LTV for properties with an A to C-rated energy performance certificate and 6.30 per cent on properties with an EPC rating of D or E.
Furness decreased rates across its buy-to-let and holiday let product ranges. Its lowest rate buy-to-let product is a two-year discount with a pay rate of 4.64 per cent for cases up to 75 per cent LTV and a five-year fixed rate is available at 5.29 per cent for cases up to 75 per cent LTV.
Other positive updates
Hampshire Trust Bank (HTB) introduced two new specialist five-year fixed rate residential and semi-commercial products for professional landlords borrowing up to £25m, with differing early repayment charge (ERC) profiles. ‘ERC Plus’ and ‘ERC Lite’ allow brokers to choose between the two products depending on the client’s particular affordability requirements and rate preference, and are available in HTB’s specialist buy-to-let, homes in multiple occupation (HMO) and multi-unit freehold block (MUFB) range as well as its semi-commercial offering at up to 75 per cent LTV.
Molo replaced its five-year fixes with new products featuring lower rates across individual and limited company buy-to-let products. Five-year fixed rates now start from 5.69 per cent across individual buyers and limited company products up to 75 per cent LTV.
Fleet Mortgages announced price cuts to its entire range of fixed rate products. These cover all Fleet’s five- and seven-year fixes, plus its green five-year fix across its standard, limited company and HMO/multi-unit block ranges.
Hanley Building Society launched a buy-to-let variable discount mortgage for term with a headline rate of 3.99 per cent, representing a three per cent discount from the society’s standard variable rate of 6.99 per cent. This is available up to 80 per cent LTV with an arrangement fee of £299 for purchase and remortgage purposes.
Relaunches and criteria updates
Finally, from a product perspective, Aldermore enhanced its buy-to-let mortgage range with reductions of up to one per cent and Saffron Building Society announced the relaunch of its limited company buy-to-let five-year fixed rate mortgage following a pause in its offering since last summer.
Moving onto service and criteria, UTB Mortgages for Intermediaries enhanced its buy-to-let mortgage application journey with the launch of a new digital process. Its buy-to-let portal now includes a section specifically for landlords’ existing buy-to-let portfolios which is matched with the mortgage data gained from UTB’s credit reference agency (CRA).
In addition, Quantum Mortgages improved its criteria for lending in Northern Ireland and made it easier for foreign nationals to invest in the UK buy-to-let market. The lender is also now considering an average of annual holiday rental value x 35 weeks for certain holiday lets and has increased the maximum loan on its specialist range to £1m.
See you next month, when I expect an even greater number of positive enhancements to emerge which will generate increased levels of interest amongst the landlord community.
