BTL lenders lower rates for landlords – including a sub-3% deal

Several buy to let lenders have announced changes to their financing products and services, aiming to bolster the service they offer landlords.

MT Finance has reduced rates across its BTL mortgage portfolio, unveiling a standout two-year fixed standard residential buy to let Tier 1 product at 2.99%, down from 3.19%.

Its Tier 2 product now sits at 3.65%, with competitive ICR stress testing at 125%.

The firm’s director of mortgages, Marylen Edwards, said: “We are delighted to introduce this significant rate reduction, now offering a buy to let product with a rate below 3%.

“At a time when landlords and property investors are seeking value and stability, breaking through the 3% barrier reflects our confidence in the market.”

HTB lowers rates by 0.10%

Not to be outdone, Hampshire Trust Bank (HTB) has trimmed its monthly interest rates by 0.10% across its entire bridging finance range, covering residential, semi-commercial and heavy refurbishment loans.

The lender has also enhanced its heavy refurbishment offering, now funding up to 100% of a property’s Day 1 value for refurbishment costs, within a 65% loan-to-gross-development-value limit.

Alex Upton, HTB’s managing director of specialist mortgages, said: “We’ve reduced rates to support brokers who need to remain competitive, particularly where time is tight and delivery needs to be reliable.

“The structure of the product hasn’t changed. Brokers still have direct access to the people making the decisions, and the flexibility to get deals moving quickly.”

Shawbrook bolsters its office range

Meanwhile, Shawbrook has strengthened its commercial mortgage offering by raising the maximum loan-to-value (LTV) for office properties to 75%, reflecting growing investor confidence in well-positioned office assets.

Its director of real estate proposition, Daryl Norkett, said: “Increasing our maximum LTVs for the office sector to 75% is another way that we’re evolving our proposition in response to ever-changing market dynamics.

“Throughout 2024, we saw growing investor confidence in commercial property – particularly in offices that are well-positioned and future-fit.

“This move not only reflects the increased stability we’re seeing in the office sector but also underlines our ongoing support for professional investors seeking to diversify and grow with the market opportunities.”

YBS improves customer service

YBS Commercial Mortgages has focused on streamlining its broker portal, leveraging the nCino platform to enhance the application process.

New features include self-initiated applications, a simplified form, the ability to pause and resume applications and direct debit submissions without signed mandates.

Angela Norman, the managing director of YBS Commercial Mortgages, said: “We’re absolutely thrilled to offer these improvements to our portal, enhancing its capabilities to create a better overall application journey which is both more efficient and intuitive, based on feedback from those who use it.

“We pride ourselves on providing a dedicated, personal service and strongly believe that technology must complement – rather than replace – the human touch.”

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