The two-year fixed pound-for-pound remortgage is available at 75% loan to value (LTV) at a rate of 3.99% with a 4% fee. It has a free standard valuation and no application dee.
The interest coverage ratio (ICR) is assessed at 125% for all applicants, which Foundation said would make it more attractive as a two-year option.
The product has been designed to suit landlords who are not looking to extend their borrowing while refinancing, as the lender said feedback suggested many were not increasing their portfolios until they had more certainty around rates and the economy.
Elsewhere, Foundation has cut rates by as much as 0.25% across residential and buy-to-let (BTL) product transfer deals.
Grant Hendry, director of sales at Foundation, said: “Bringing back our F1 £4£ remortgage only two-year fixed product is an important enhancement that reflects the reality of today’s market.
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“The product is designed to provide a practical solution for landlords looking to refinance and not only offers a great two-year rate, but also a range of benefits – from the assessment of affordability through to the fee-assisted incentives reducing upfront remortgage costs.”
He added: “At Foundation, we understand that brokers and their clients need lenders who can adapt to the changing nature of the market. By reintroducing this product and enhancing our range, we’re continuing our commitment to making mortgages happen with solutions that truly meet today’s market needs.”
