A spokesperson from the Building Society said that negotiations on branching out into the sector are still in the early stages.
She said: “Following our merger with Chelsea Building Society, we have an existing buy-to-let mortgage book. We are currently working on the possibility of pursuing new lending in this area of the market and we expect our buy-to-let operation is likely to include our intermediary arm, Accord Mortgages.”
YBS would not confirm its distribution plans, but the lender has been in discussions with a variety of buy-to-let specialist brokers.
David Whittaker, managing director of broker Mortgages for Business, said: “The Building Society has been talking to people and there has been documentation in the framework. It’s just a case of when this will all take place.”
Market rumours suggest the buy-to-let range will launch by the end of the second quarter.
Ying Tan, managing director of The Buy to Let Business said the move would be a positive step forward in the sector.
He said: “Lenders have identified the buy-to-let market as an area of growth and are looking at the options available to them.”
He added that the lender is likely to offer products with LTVs of less than 85% to the market.
“Logically new lenders have to be cautious, therefore I can’t see Yorkshire Building Society bringing in higher LTV products to rival Kensington’s new range,” he explained.
This week, Kensington launched a range of buy-to-let products up to 85% LTV, with rates starting from 5.24%.
