Cumberland BS brings in 60 per cent LTV tier and cuts rates on holiday-let range

The rate for its 60 per cent LTV products will start from 2.99 per cent.

The mutual, which has been in the holiday-let market for over a decade, has reduced rates on its 75 per cent LTV two-year variable and five-year fixed rate products.

Its two-year variable rate will now start from 3.39 per cent, whilst its five-year fixed rate will start from 3.99 per cent.

The mutual has also combined its £75,000 to £750,000 pricing tier with its £750,000 to £2m pricing tier to offer one product for loan sizes from £75,000 to £2m.

The Cumberland’s head of commercial Scott McKerracher said that the introduction of the 60 per cent LTV tier would make its holiday let offering more attractive and, along with simplifying its pricing structure, both would be of “significant value” to customers.

He added: “We’re seeing the staycation market continue to grow, with more investors seizing the opportunity to start up a holiday let business, or expand an existing holiday-let portfolio.

“We continue to receive high volumes of appointments via our website, along with a steady flow of enquiries from brokers.”

Holiday lets have become increasingly popular due to heightened popularity of staycations in the UK. According to research from Moneyfacts buy-to-let mortgage options available for holiday lets have more than doubled to 184 over the past year.