Finance & Tax Helpful Tips

March Buy to Let Market update

Doug Hall
Written by Doug Hall

Welcome to ‘Buy to Let Market’, a column aimed at providing you with recent criteria and product updates within the Buy to Let lending markets.

Buy to Let Market Update: –

Leeds Building Society – has cut rates on selected purchase and remortgage Buy to Let products. Targeted products include the lender’s 60% Loan to Value two-year fix, which has been reduced from 1.64% to 1.49%, and the 60% Loan to Value five-year fix, which has been cut from 2.29% to 2.15%. Both offers include free standard valuation up to £999, 10 per cent penalty free over-repayments per year and have a product fee of £1,999.

Vida Homeloans – has increased their maximum Loan to Value from 80% to 85%, subject to a maximum loan size of £250k. They have also increased the maximum number of properties per Buy to Let borrower to 20 with the maximum number of properties a borrower can hold in their total portfolio now being 100. The majority of their rates have been reduced, by up to 0.50%. Their 2-year fixed rate starts at 3.14%, and 5-years starts at 3.59%.

Newcastle Intermediaries – has reduced its Buy to let rates by up to 0.40% across a selection of its two, three and five-year fixed products. A five-year fix at 2.75%, a reduction of 0.30% on its current rate, is available at a maximum Loan to Value of 75%. It offers 10% overpayments per annum facility.

Principality Building Society – has increased its Buy to Let and holiday let loan sizes. They will now lend up to £750,000 at 60% Loan to Value and £500,000 at 75% Loan to Value, while increasing the maximum age of applicants from 75 to 85 years old. Holiday let customers will also be permitted to borrow on two properties rather than one.

The Mortgage Lender – has reduced rates on its limited company Buy to Let range to bring them in line with individual pricing. Rates now start from 3.09% for a two-year fixed rate at 70% Loan to Value with a completion fee of 1.5%. A five-year fixed rate is available at 4.02% with no fees and £500 cashback, or 4.05% with a 1.5% completion fee. The lender has also introduced a 5-year fixed range with early repayment charges for the first 3 years.

Foundation Homeloans – has launched a range 5 year fixed to flex products. These products are suitable for individual, limited company, first time and portfolio landlord and have the flexibility of having a 3-year early repayment charge period.

Precise Mortgages – has launched 2 different 5-year fixed rate Buy to let products with a 3-year early repayment period. The HMO and Multi – Unit on one freehold product is available to 75% Loan to Value fixed at 3.65% with a 1.5% lender product fee. The standard property option is available to 75% Loan to Value fixed at 3.65% with a 2% lender product fee. The standard property option product will also consider landlords with less than perfect credit profiles. Both options are available to both individuals and limited companies and are available through selected intermediaries including 3mc/RLA Mortgages.

For further information on Buy to Let mortgages both for individuals and limited companies please contact RLA Mortgages on 0161 341 0581 or visit the website www.rlamortgages.co.uk.

Please note lenders have different minimum criteria requirements and not all landlords and property types will qualify for a specific product. The product rates are correct at the time of writing the article and are subject to change.
This is a financial promotion and in no way should it be viewed as a personal recommendation or advice. Before a recommendation/advice can be given, you should seek independent mortgage or financial advice. RLA Mortgages is operated exclusively for The Residential Landlords Association (RLA) by 3mc, which is authorised and regulated by the Financial Conduct Authority. FCA No. 302992. The Residential Landlords Association is an Introducer Appointed Representative of 3mc (UK) Limited.

ANY PROPERTY USED AS SECURITY, WHICH MAY INCLUDE YOUR HOME, MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE.

Although the FCA regulates the way the majority of mortgages are sold, in most cases it does not regulate buy to let mortgages. This means you may have less protection if things go wrong with a Buy to Let mortgage.

About the author

Doug Hall

Doug Hall

Doug Hall is a director of 3mc; a specialist mortgage provider within the buy-to-let sector. 3mc have been established for over 21 years working with lenders, mortgage intermediaries and the Residential Landlords Association (RLA) providing all types of buy-to-let mortgage solutions.

Leave a Comment

This site uses Akismet to reduce spam. Learn how your comment data is processed.