Masthaven launches limited edition BTL products; Landbay brings out HMO products

The lender will offer loan sizes between £40,000 and £1m at 65 and 70 per cent LTV and the maximum loan value for 75 per cent LTV is £600,000.

The products are available on both two-year fixed rates and five-year fixed rates with a reversion rate of 5.5 per cent.

The two-year fixed rate deal at 65 per cent LTV has a rate of 2.75 per cent, and its two-year fixed at 70 and 75 per cent LTV has a rate of  2.79 per cent. The products are also subject to a lender fee of 1.5 per cent.

The lender is also offering a two-year fixed product with a fee of £1,995 at 70 and 75 per cent LTV, which has a rate of 3.19 per cent.

The five-year fixed at 65 per cent LTV has a rate of 3.09 per cent and at 70 and 75 per cent LTV has a rate of 3.14 per cent. The products are also subject to a lender fee of 1.5 per cent.

Its five-year fixed rate with a lender fee of £1,995, available at 70 and 75 per cent LTV, has a rate of 3.44 per cent.

The two-year fixed rate products are subject to early repayment charges (ERCs) of three per cent in the first year and two per cent in the subsequent year.

For the five-year fixed products, ERCs begin at five per cent, declining by one percentage point incrementally for each year of the fixed period.

The products are available for corporate tenants, individual or professional landlords, limited companies, houses of multiple occupancy (HMO) and student accommodation. Other features include no credit scoring and unlimited gifted deposits and equity.

Landbay brings in two products for first-time HMO landlords

Landbay has released two products for first-time landlords lending against houses in multiple occupancy (HMOs).

The products are available for properties with up to six bedrooms and also includes new-build properties.

The lender said that the new products were in response to broker feedback, who reported increased enquiries from first-time landlords regarding HMOs due to the higher yield.

The two-year fixed rate product has a rate of 3.49 per cent and the five-year fixed has a rate of 3.79 per cent. Both products have are available up to 70 per cent LTV and are subject to 1.5 per cent fee.

Paul Brett, managing director, intermediaries at Landbay, said: “Landlords are becoming more sophisticated and they understand the responsibilities of managing an HMO. They have done their homework and know the yields on HMOs are much higher than single flats or houses resulting in greater financial rewards.

“There is also more demand for living in HMOs, particularly from young professionals who want or need to share a house. Some simply can’t afford to rent their own place but many actually like communal living. Much of the HMO accommodation is far better quality than it used to be and can demand a higher rent.”