Foundation Home Loans slashes BTL rates and fees

The product fee on all its two-year fixed rate mortgages has been halved to one per cent while the five-year fixed F1 and F2 standard property product fees have been reduced by 0.5 per cent to 1.5 per cent. 

Rate reductions include the five-year fixed homes in multiple occupancy (HMO) offering at 75 per cent loan to value (LTV). This has been cut to 3.44 per cent. 

The large HMO or multi-unit block (MBO) five-year fixed product at the same tier has been reduced to 3.54 per cent. The five-year fixed product for short-term let at 65 per cent LTV has gone down to 3.74 per cent. 

The lender has also released a short-term let product with a flat fee. 

This is a five-year fixed deal with a fee of £1,495. It is available at 65 per cent LTV at a rate of 3.94 per cent and 75 per cent LTV at 4.29 per cent.   

George Gee, commercial director at Foundation Home Loans, said: “We have been able to significantly reduce the product fees across our two and five-year fixed rates while maintaining, and in many cases even reducing, rates. This new buy-to-let product range with lower percentage product fees is designed to reduce the total cost of the loan for buy-to-let borrowers. 

“Due to the popularity of flat fees across the rest of our range we’ve also introduced a five-year fix which comes with a £1,495 fee for those purchasing or remortgaging short-term lets, again designed to keep down the overall cost of the loan.”