The mutual stressed that this was a “measured move” into buy to let, with products initially distributed through two brokers and limited to South Eastern properties.
Yorkshire Building Society already has an existing buy-to-let book inherited through its merger with Chelsea Building Society last year, and it said prime residential lending will remain Accord’s primary focus.
For a brief trial period, Accord will only lend through brokers London & Country and The Buy To Let Business, before rolling its buy-to-let products out to the rest of Yorkshire’s selected distribution panel.
Buy-to-let applications will initially be restricted to properties in London and the South East, with plans to widen geographical availability later in the year.
Deals on offer include two-year fixed rates for purchase and remortgage at 4.29% and 4.59% up to 65% LTV and 75% LTV respectively, both with a £995 fee.
Yorkshire said the staged entry into buy to let will allow it to test its systems with relatively low volumes of business and maintain service levels.
Jeremy Law, head of buy to let at the Yorkshire, said: “As a financially strong independent mutual, our primary focus is, and always will be, the interests of our members. We will approach buy-to-let mortgages as we would with any other home loan, as a responsible and prudent lender.
“Initially, we plan to offer products for properties located in London and the South East to ensure a manageable entry into the market
“However, we hope that we may be able to extend our geographical spread later in the year once we have our operation up and running.”
Ying Tan, managing director of The Buy To Let Business, said: “We’ve been waiting for this day and it’s great for competition. The products are very good, with an excellent arrangement fee, but the challenge will be the strict criteria. Yet, it is a perfect product for the right person looking at a vanilla property.”
David Hollingworth, head of communications at London & Country, said: “Any new lender brings more competition into the market. It’s a new sector for them and we’re excited to be helping. It may not have the lowest rates, but combined with the flat fee, it has a good place in the market.”
