The rates on the discounted mortgages start from 4.99% and are available for purchase or refinance.
The mutual said the higher-LTV options would help brokers support clients in a part of the market where choice was typically limited, particularly for landlords operating through limited company structures.
Hinckley & Rugby Building Society has also reduced the rate on its two-year discounted BTL rate for limited company borrowing by 0.4% to 5%. This is available at 70% LTV and comes with a £1,249 fee.
Laura Sneddon, head of mortgage sales and distribution at Hinckley & Rugby for Intermediaries, said: “Five-year fixed rates have been the default for many landlords for a reason, particularly from an affordability and rental coverage perspective, but that doesn’t always reflect how clients are thinking in the current market.
“What we are seeing more often now is brokers weighing up that trade-off more carefully. While fixed rates can work well from that point of view, not every landlord wants to lock in at today’s pricing.”
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She said this was particularly the case where the direction of the Bank of England’s base rate was still unclear, leaving brokers and clients “trying to balance affordability with flexibility, rather than committing too early”.
Sneddon added: “That is where discounted products start to come back into the conversation. They are not always the easiest to place, but they can offer a level of flexibility that some clients are actively looking for.
“By introducing 80% LTV options and adjusting pricing across the range, we are giving brokers more scope to structure cases around those real conversations, rather than relying on a single approach.”
Principality BS increases mortgage rates
Principality Building Society has announced mortgage rate increases, effective from 7 May.
Across its residential rates, two-year fixes at 65%, 75%, 80% and 85% LTV will be increased by up to 0.1% and increases of up to 0.09% will be made to five-year fixes at the same tiers.
Three-year fixes at 75%, 80% and 85% LTV will go up by 0.05%, as two-, three- and five-year fixed rates at 90% LTV by up to 0.06%.
The mutual will also increase residential mortgage rates with cashback.
Its new build rates at 75% LTV for Help to Buy Wales will rise by 0.1%, while joint borrower sole proprietor rates will go up by as much as 0.1%.
Five-year fixed BTL rates will be increased by up to 0.15%, while selected two- and five-year fixed holiday let rates will rise by up to 0.15%.