Buy-to-let market update:
BM Solutions – has changed their lending policy by increasing the maximum age at the end of term for buy-to-let and let-to-buy customers from 80 years old to 99 years old. The maximum age at the point of application will remain the same where the eldest customer must submit the application before their 75th birthday. This new maximum age policy applies to Personal Named and Limited Company mortgages.
The lender has also decreased selected buy-to-let and let-to-buy fixed rates by up to 0.29 per cent, rates start from 2.60 per cent, at the same time, they have also reduced their limited company buy-to-let by up to 0.14 per cent and rates start from 3.84 per cent.
The Mortgage Works – has decreased rates on selected buy-to-let products by up to 0.2 per cent. A one-year fixed rate is down by 0.2 per cent to 2.49 per cent with a 2 per cent lender fee and a two-year fix has decreased by 0.18 per cent to 2.71 per cent with a 3 per cent lender fee. Both products are available for purchase and remortgage up to 75 per cent LTV.
In addition, a five-year fixed rate remortgage only decreased to 3.67 per cent with a 3 per cent lender fee, available up to 75 per cent LTV.
For limited companies, a two-year fixed rate has decreased to 4.89 per cent and a five-year fix has reduced to 4.94 per cent, both available for purchase, remortgage and further advances, up to 75 per cent LTV with a £1,495 lender fee and free valuation.
A limited company five-year remortgage rate has decreased to 4.99% with a £1,495 lender fee, free valuation and free legals.
The lender has raised its lending limits and refined its affordability criteria in a move designed to help professional landlords expand their portfolios.
The maximum loan per property has increased to £2 million for buy-to-let and limited company applications, up from £1.5 million, and to £1 million for let-to-buy, previously capped at £500,000.
Overall portfolio borrowing has also been lifted from £5 million to £7.5 million. has also revised how it assesses affordability across a landlord’s portfolio. Under the updated aggregate portfolio policy, properties owned within a limited company structure will now be tested against an interest cover ratio (ICR) of 125 per cent, while those held personally will remain subject to a 145 per cent ICR.
Coventry for Intermediaries – has decreased buy-to-let products by up to 0.1 percent.
Virgin Money – has decreased selected buy-to-let fixed rate products by up to 0.15 per cent.
NatWest – has released 11 BTL products on two- and five-year fixed terms for purchase and remortgage.
Santander for Intermediaries – has decreased buy-to-let rates by up to 0.18 per cent. Available for purchase, two-year fixed rates now start from 3.80 per cent and five-year fixes from 4.01 per cent, while remortgage rates have decreased to 3.77 per cent fixed for two years and 3.94 per cent fixed for five years.
Metro Bank – has decreased buy-to-let HMO/MUFB (including Personal and Limited Company) by up to 0.3 per cent, rates now start from 3.19 per cent.
HSBC – has decreased selected buy-to-let remortgage rates by 0.1 per cent.
Accord Mortgages – has improved their rental income calculation by reducing interest coverage ratio (ICR) rates. For purchase or remortgage with capital raising where the product term is five years or more, the ICR rate is now the higher of 4.75 per cent or product rate +0.5 per cent (previously product rate +1 per cent). For straight switch remortgages with a product term of fewer than five years, the ICR rate is now the higher of 4.75 per cent or product rate +0.7 per cent, and for product terms of five years or more, the ICR rate is the higher of 4.75 per cent or product rate +0.35 per cent.
The lender has also reduced rates by up to 0.1 per cent across their buy-to-let range.
Paragon Bank – has launched a multi-property buy-to-let mortgage proposition to allow landlords to apply for four or more properties in a single application. Landlords can choose from any of Paragon’s product range for both purchase and remortgage and can select any property type in the application, including single self-contained units, HMOs and multi-unit blocks (MUBs).
To further enhance the flexibility of the product, properties included within the single application can be completed at separate times. Up to 99 properties can be included as part of the multi-property application.
There are no application fees across the range, including HMOs and MUBs, saving £299 per property, and only one independent legal advice certificate is required, rather than one per property.
The lender has announced that landlords who own more than 4 buy-to-let properties, there will be no minimum income requirements with immediate effect.
The lender has also launched a new shared exclusive range of products for NRLA members. These selected products are 0.1 per cent cheaper when compared to the lender core range.
Rely – Part of the OSB Group has formally launched, aiming to be the most powerful buy-to-let lending solution on the market. Available across the whole of market and up to 80 per cent LTV, there are over 2000 products to choose from. With two-, three-, four- and five-year fixed rates starting from 3.09 per cent, with a range of fee options available as well as No Adverse and Light Adverse options.
The Mortgage Lender (TML) – has decreased rates for selected two- and five-year fixed rates by up to 0.05 per cent. This includes its two-year fixed limited-edition rates at 75 per cent LTV with a £2,495 lender fee, 3 per cent lender fee and 5 per cent lender fee, which come to 5.14 per cent, 4.25 per cent and 3.29 per cent respectively.
For five-year fixed standard rates at 75 per cent LTV with 2 per cent, 3 per cent and 5 per cent lender fees, rates start from 4.81 per cent, 4.61 per cent and 4.26 per cent respectively.
Five-year fixed HMO deals at 75 per cent LTV with 2 per cent and 5 per cent lender fees come to 5.31 per cent and 4.66 per cent respectively.
Landbay – has announced that its premier products are now available for individual applications. Initially launched for landlords with up to 15 properties in limited company SPVs, the products are now open to individual landlords, too. The range includes two-year and five-year fixed rates, from 3.39 per cent.
Moda Mortgages – have decreased rates across their entire buy-to-let range by up to 0.15 per cent, rates will now start from 2.99 per cent.
Leeds Building Society for Intermediaries – has decreased rates on selected limited company buy-to-let products, by up to 0.16 per cent.
Aldermore Bank – has expanded its buy-to-let range with new limited-edition products.
There is a two-year fixed rate at 75 per cent LTV for individual and company landlords with single residential properties with a 3 per cent lender fee with a rate of 4.09 per cent.
The lender has also launched a two-year fixed rate at 75 per cent LTV with a 3 per cent lender fee with a rate of 4.04 per cent for those with multiple properties and a two-year fixed rate at 75 per cent LTV with a 3 per cent lender fee at 4.49 per cent for HMOs.
CHL Mortgages – has entered the 80 per cent loan-to-value (LTV) space with a new range of buy-to-let products. The specialist lender, part of the Chetwood Bank Group, has launched 3.5 per cent and 5 per cent lender fee options across single dwelling, small HMO and short-term let property types. Rates start from 3.40 per cent for two-year fixed products and from 5.06 per cent for five-year fixes.
United Trust Bank – has decreased selected products by up to 1.9 per cent. The changes apply to mortgages for single-let, HMO, multi-unit block and holiday let applications. Standard two-year fixed rates now start from 3.89 per cent, down from 5.69 per cent, while five-year fixes begin from 5.19 per cent.
Family Building Society – has decreased rates on its two- and five-year fixed products for UK landlords, limited companies and expat borrowers by 0.1 per cent.
Zephyr Homeloans – has decreased all buy-to-let fixed rates by up to 0.1 per cent, rates now start from 2.34 per cent.