Buy-to-let market update

By Doug Hall, Director, 3mc

Welcome to ‘Buy-to-let market’, a column aimed at providing you with recent criteria and product updates within the buy-to-let (BTL) lending markets. The information within this article is correct as at 24/05/2024.

BTL update: –

BM Solutions – has reduced their BTL and let-to-buy products by up to 0.2 per cent.

Virgin Money – has reduced select BTL purchase and remortgage rates. Within its BTL purchase and remortgage range, exclusive fixed rates with a 3 per cent lender fee have reduced by up to 0.04 per cent, starting from 4.05 per cent. Exclusive fixed rates with a 1 per cent lender fee have reduced by up to 0.05 per cent, and will be priced from 4.67 per cent, while exclusive fixed rates with a £2,195 lender fee have reduced by 0.1 per cent, beginning from 4.57 per cent. Fixed rates with a £995 lender fee have reduced by up to 0.19 per cent, starting from 4.89 per cent, and its fee-saver fixed rates have reduced up to 0.21 per cent, priced from 5.19 per cent.

Santander for intermediaries – has made reductions to selected fixed rates across their BTL range. The 60 per cent loan to value (LTV) 2-year fixed rate remortgage with a £1,749 lender fee is now priced at 4.82 per cent, a reduction of 0.16 per cent. Also, in the BTL range, the 75 per cent LTV 2-year fixed rate remortgage with a £1,749 lender fee is now priced at 4.96 per cent, a reduction of 0.2 per cent.

The Mortgage Works (TMW) – will now accept limited company BTL purchase applications for properties currently inhabited by one of the company directors. TMW’s existing limited company product range will be available for these cases.

Paragon Bank – has launched a new range of 5-year fixed rate products for portfolio BTL clients. Available up to 75 per cent LTV, these new 5-year fixed rates start from 5.09 per cent, with various percentage product fee options available. These products are available for purchase and remortgages, and all come with a free mortgage valuation. The lender has also launched a range of SAL member shared exclusive products via 3mc/SAL Mortgages. The products come without a lender application fee, saving the member £299.

The Mortgage Lender (TML) – has introduced a BTL multi-loan product range. The range is available to existing TML BTL customers or customers who are submitting two or more applications at the same time.

Vida Homeloans – has launched limited edition BTL products across individual BTL units and houses of multiple occupancy/multi-use building (HMO/MUB) properties. The products offer a 75 per cent LTV on a 5-year fix with a 6 per cent lender fee. The individual BTL product has a rate of 4.84 per cent with the HMO/MUB product at 5.04 per cent. The products are suitable for both individual landlords and limited company special purpose vehicles (SPVs).

Kensington Mortgages – has reduced BTL mortgage rates by 0.2 per cent, including options for limited company borrowers, houses HMOs and MUBs. Additionally, the lender has reduced special BTL rates by up to 0.4 per cent. Rates across this offering start at 4.15 per cent for its 2-year special fixed rate at 70 per cent LTV, while at 75 per cent LTV, pricing begins at 4.69 per cent. Both options have a 5 per cent lender fee and a free valuation.

Foundation Home Loans – has launched new short-term and holiday let products, and also reduced fees across a range of BTL products. The lender has launched fee-assisted, 2 and 5-year fixed-rate products for short-term let properties, available up to 75 per cent LTV with rates starting at 6.79 per cent and a lender fee of 1.25 per cent. It has also launched a new 2-year fixed-rate holiday let product, available up to 70 per cent LTV, with a 2 per cent lender fee and a rate of 6.99 per cent.

The lender has also launched a ‘pound-for-pound’ remortgage range to include new 2-year fixed-rate deals for landlord borrowers who do not require any additional funds. Rental cover is at 125 per cent regardless of the applicant’s taxpayer status, with the stress rates applied at the product’s pay rate. 

LendInvest Mortgages – has made a number of changes to its BTL  product range, including reducing rates and increasing maximum loan sizes. The lender has reduced rates by up to 0.15 per cent, with rates now starting from 3.89 per cent. Landlords can now also access up to 80 per cent LTV on five-year products for both standard properties and small HMOs. Maximum loan sizes have been increased up to £3 million. Additionally, the lender has reintroduced holiday let products, offering new 2-year and 5-year fixed rates.

For further information on BTL mortgages both for individuals and limited companies please contact SAL Mortgages on 0131 450 7169 or visit the SAL website www.scottishlandlords.com

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.

SAL Mortgages is operated exclusively for the Scottish Association of Landlords (SAL) by 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.

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