Insights and Opinions Doug Hall 10/11/2020

Buy-to-let market update: November

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. Written by Doug Hall, of NRLA mortgage partners 3mc. 

Buy to Let Market Update:

Paragon Bank – are once again accepting applications on buy-to-let properties that are, or will be, let to students. Rates start from 3.05% and are available up to 75% Loan to Value.

Metro Bank – has reduced the stress test rate on five-year buy-to-let (BTL) mortgages, from 5.5% to 4.5%. The maximum age for a BTL applicant at the end of their term has been increased from 80 to 85.

Landbay – has launched a range of shared exclusive products available for Houses in Multiple Occupancy (HMO’s) up to 6 bedrooms and available to 70% Loan to Value. The rates start from 3.35% and available through selected partners including NRLA Mortgages/3mc. The lender has also added two new products to its range, both at 75% Loan to Value. The pair of five-year fixed rate deals are both available at an interest rate of 3.55%. The first has a free valuation and a maximum loan size of £525,000 and is available on properties up to £700,000, whilst the second has a maximum loan of £1m. Both have minimum loan sizes of £250,000.  

Pepper Money – has launched a range of Limited Company Buy to Let exclusives available through 3mc/NRLA Mortgages. The range includes five-year fixed rate products on the Pepper 48 Light range, at a pay rate 0.15% cheaper than the equivalent core range. It means the product is available at 3.30% up to 65 % Loan to Value, while up to 80 % Loan to Value the rate is 4.40%. The exclusives also come with a free valuation and have a maximum loan size of £500,000.

Leeds Building Society – has increased fixed rates by 0.15% on selected Buy to Let, Portfolio Buy to Let & Holiday Let fixed rates.

Furness Building Society - has temporarily withdrawn its all buy-to-let (BTL) and holiday let mortgages from the market to help manage service levels. Furness is no longer accepting new decisions in principle or full applications on these products.

Precise Mortgages – has updated its range of BTL mortgages with limited edition specials and a return of their credit impaired products. For the limited-edition specials, the lender has reduced the lender completion fee by 0.75% to 1.25%.

Nat West has increased buy to let rates by 0.70%.

Skipton Building Society – has reduced rates by up to 0.57% across their Buy to Let product range.

Foundation Homeloans – has increased rates on buy-to-let mortgages in its F1 product range. The range is for portfolio and non-portfolio landlords with an almost clean credit history. All rates have been increased by 0.1% except the two-year fix at 65% loan to value (LTV) which has risen 0.15%.

The Mortgage Lender – has launched a range of new Buy to Let products to include a shared exclusive for selected partners including NRLA Mortgages/3mc. The 5-Year fixed 65% LTV ‘Larger Loans’ product for amounts between £500,000 and £750,000 is priced at 3.48% with a 0.50% completion fee.

 

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