Godiva launch new 75% buy to let product range
Published 13/07/2012 By Neil Patterson, partner of Property118 responsible for operational management
Godiva, owned by the Coventry Building Society, have launched an aggressive new buy to let product range extending its loan to values to 75% and adding 5 year fixed rates with no early repayment charges.
They have obviously secured funding and are hungry for market share with the 5 year flexible fixed at 5.75% and a lifetime flexible variable at 5.49%. These products are targeting the market that wants a long term deal without the need to remortgage in a short space of time whilst keeping options open for future changes in circumstances (further details below)
Godiva 5.75% Flexx 5 year Fixed to 31.10.17 (75% LTV)
Early repayment Charges – None
Fees – Arrangement a flat £1499 and Booking £250
Incentives – One mortgage valuation included up to a maximum of £700 and a remortgage transfer service included
Overall cost for comparison – 5.5% APR
Cost over 5 years interest only for a £100,000 loan not including incentives = £30929.96
Godiva 5.49% Flexx Life time variable (75% LTV)
Early repayment Charges – None
Fees – Arrangement a flat £1499 and Booking £250
Incentives – One mortgage valuation included up to a maximum of £700 and a remortgage transfer service included
Overall cost for comparison – 5.8% APR
Cost over 5 years interest only for a £100,000 loan not including incentives = £29610.48 (assuming the rate stays the same during the period)
Other new 75% products include:
- 5.6% 5 year Fixed rate to 31.10.17 arrangement fee £1499 Booking £250
- 5.79% life time flexible variable rate (no erc) arrangement fee £749 Booking £250
- 5.8% 5 year Fixed rate to 31.10.17 arrangement fee £749 Booking £250
- 5.99% 5 year Flexx Fixed to 31.10.17 (no erc) arrangement fee £749 Booking £250
All the above rates come with the free remortgage transfer service and valuation up to £700
Godiva Criteria includes:
- Rental stress testing at 125% of the monthly interest only mortgage payment
- minimum purchase price or property value £75,000
- minimum loan amount £25,000
- minimum personal income £25,000 sole or £30,000 for joint applicants
- No multiple let properties except for a maximum of 4 students
To discuss a specific Buy to Let deal you can call us on 01603 489118 or email info@property118.com
If you would like to add your own requirements and search for the most popular available Buy to Let products please click here
About Neil Patterson
Neil's career began in banking in 1990. He has also managed a building society branch and worked in business development. He became an Associate Partner of The Money Centre in 2003 and subsequently took on the role of Head of Operations which included training, quality control, project management an...Read More
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