Aldermore and Shawbrook roll out major updates for landlords

Aldermore and Shawbrook have announced product updates aimed at supporting landlords and streamlining the property finance process.

Aldermore has unveiled a new range of limited edition buy to let products and reduced rates across several key options.

For individual landlords and limited companies with single residential investment properties, the lender has introduced two five-year fixed rates at 75% LTV – 4.92% with a 1.5% fee and 5.14% with a £1,999 fee.

It has also trimmed its two-year fixed deals by 0.15%, now offering a zero-fee product at 5.64% and a 5% fee option at 3.14%.

New landlord BTL deals

Portfolio landlords can also benefit from rate reductions, including five-year fixed products at 4.87% and 5.09%, and two-year fixes cut to 5.59% and 3.09%.

For HMO investors, Aldermore’s new range includes two- and five-year fixed deals with rates starting at 3.49% for a 5% fee, and up to 5.99% with no upfront costs.

Aldermore’s director of mortgages, Jon Cooper, said: “Our recent research demonstrates that landlords across the country are enjoying better profits and yields than they have for several years, however, they still face challenges, and the future looks uncertain for some.

“We’re committed to helping the many brilliant landlords active in the market.”

Shawbrook’s use of AVMs

Meanwhile, Shawbrook has made enhancements to its bridging loan process by expanding the use of AVMs.

The update means more properties can qualify for automated valuations up to 75% LTV, including light refurbishment projects.

The extended AVM criteria apply to a broad range of property types, from individual houses and standard flats to small HMOs, all valued on a bricks-and-mortar basis.

The lender will accept properties valued up to £2 million in London and the South East, and up to £1 million elsewhere in the UK.

‘Best of both’ proposition’

To make the process even more efficient, photo evidence of property condition is no longer required.

In addition, Shawbrook will now proceed with an AVM even if it doesn’t meet the usual confidence threshold, provided the valuation is higher than the purchase price, basing the loan on 75% of that figure.

The lender’s director of real estate proposition, Daryl Norkett, said: “This update is another step in leveraging our ‘best of both’ proposition by using technology to speed up bridging loans and reduce costs for customers.

“By expanding our AVM parameters and removing unnecessary hurdles, we’re making it easier to get deals over the line quickly, especially where purchase timelines are tight and customers want certainty of their property’s valuation on day one.”

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