Insights and Opinions Doug Hall 08/12/2020

Buy-to-let market update: December

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: -

Virgin Money – has reduced a number of Buy to Let products by up to 0.23% at certain Loan to Values.

Nat West – has announced reductions of up to 0.84% across its Buy to Let mortgage range.

Landbay – has launched a range of 80% Loan to Value fixed rate products with rates starting from 3.79% with a 2% lender completion fee.

Kent Reliance for Intermediaries – has extended its House in Multiple Occupancy/Multi Unit Freehold Block range to now accept up to and including 7 to 10 bedroom/units. Rates start from 3.79%.

Leeds Building Society – has decreased fixed rates by up to 0.15% on selected Buy to Let and Portfolio Buy to Let fixed rates.

The Mortgage Works - has reduced rates on its limited company two and five-year fixed mortgages by up to 0.25%. Rates now start from 3.19%, are available up to 75% Loan to Value and have a free standard valuation fee.

Precise Mortgages – has launched a range of limited edition “winter warmer” Buy to Let products with rates starting from 3.14% to include a choice of lender completion fee options. In addition, they have relaunched their Refurbishment Buy to Let product ideal for financing a refurbishment project providing the flexibility of bridging finance with the security of a long-term mortgage once the property has been refurbished.

Coventry for Intermediaries – has altered how they assess the background portfolio for portfolio landlords only. The stress rate has reduced from 5.5% to 5% and they have increased the interest cover ratio (ICR) from 125% to 145% for Higher/Additional rate tax payers (anyone earning >= £49k in England and Wales or >= £42.5k in Scotland).

Foundation Homeloans – has launched a range of fee-assisted two- and five-year fixed-rate BTL remortgage products, available at both 65 and 75% Loan to Value. Two-year fixed rates start at 3.34% and five-year fixes from 3.54%. The products are available to individuals and limited companies, for both portfolio and non-portfolio landlords and come with a number of incentives. These include one free standard valuation per case, no application fee and £250 cashback on completion.

Hampshire Trust Bank – has launched a new Large Loan product, giving borrowers of loans over £1m a 3.25% five year fixed-rate product for buy to let loans up to 60% Loan to Value.

Lendinvest – has announced rate reductions for their 70% and 75% Loan to Value 2-year products and launched a new 5-year fixed product at 75% Loan to Value with lower rates. They have also reintroducing their tier 2 credit criteria.

Skipton International - has cut rates on two products for overseas buyers looking to invest in UK buy-to-let (BTL) property. The deals are available for loans above £750,000, have a maximum Loan to Value of 70%. The pair of new deals are a three-year base rate tracker at 2.49% and a five-year fix at 3.24%.

 

For further information on Buy to Let mortgages both for individuals and limited companies please contact NRLA Mortgages on 0161 341 0581 or visit the NRLA website https://www.nrla.org.uk/services/mortgages.

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 an advertisement only and in no way should be viewed as a personal recommendation or advice. Before a recommendation of the suitability of the product can be given, we will direct you to 3mc (UK) Limited who can provide independent mortgage advice. As part of this they will ask questions so that they can fully understand your circumstances before giving advice.

NRLA Mortgages is a trading name of LPTE Limited which is an Introducer Appointed Representative of 3mc (UK) Limited who is Authorised and Regulated by the Financial Conduct Authority and is entered on the FS Register under reference 302992.

Please note: 3mc can advise/arrange Business Buy to Let (BBTL) and Consumer Buy to Lets (CBTL). Of the two, only Consumer Buy to Lets are regulated by the FCA.

THINK CAREFULLY BEFORE SECURING OTHER DEBTS AGAINST YOUR HOME. YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE.

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

All calls are recorded for training and monitoring purposes.

Doug Hall

Doug Hall Director 3mc

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.

See all articles by Doug Hall