No interest is charged on the Flex to Buy mortgage until funds are drawn and all interest is rolled up and paid at redemption. Funds can be withdrawn in stages.
The minimum loan is £250,000 and a maximum cap of £5m is applied to the product but this can be exceeded by referral. A 2% fee is payable to secure the original agreed mortgage balance and a maximum 12-month term is applied to the loan once the first slice of funds is withdrawn.
There are no early redemption charges six months after the first tranche is drawn.
Matthew Wyles, executive director (pictured), said: “Landlords can create a lot of value by being able to move quickly on a purchase. The Flex to Buy product gives active investors an ability to sign contracts at the drop of a hat secure in the knowledge that they have committed funding already in place.”