BTL lenders lower rates and boost landlord options

There has been more activity in the UK’s buy to let lending sector as MT Finance, InterBay and Pluto Finance join the throng of lenders lowering rates.

MT Finance has trimmed its BTL mortgage rates by as much as 0.50% across its full suite of products.

This includes its newly introduced Tier 2 range, with two-year fixed standard residential buy to let rates now starting at 3.19% for Tier 1 and 3.89% for Tier 2.

The lender’s interest coverage ratio (ICR) stress testing holds steady at 125% across all offerings.

The director of mortgages, Marylen Edwards, said: “Our decision to reduce rates across our entire buy to let range reflects both market conditions and our commitment to delivering value for property investors.

“With rates now starting from 3.19% and our recently launched Tier 2 product at 3.89%, we’re ensuring our proposition remains highly competitive while maintaining our focus on service excellence.”

InterBay overhauls its ranges

Meanwhile, InterBay, a division of OSB Group, has overhauled its commercial and semi-commercial lending ranges, rolling out fresh limited-edition products alongside lower fees and reduced rates.

The limited-edition offerings feature rates beginning at 6.94% for commercial properties and 6.19% for semi-commercial, paired with a 3% fee.

For borrowers requiring smaller sums, a core range now provides options with fees as low as 2% or 5%, alongside lower rates, starting at a minimum loan size of £150,000 and extending up to 75% loan-to-value (LTV).

Other innovations include semi-commercial products tied to residential valuations and commercial options linked to EPC ratings, with preferential pricing for properties rated C or above.

The head of commercial lending, Marc Callaghan, said: “We’ve been working hard behind the scenes on our product range to ensure we’re offering value-add financial solutions to our broker partners.

“We’ve reduced rates, expanded our limited-edition products and increased our fee options so we’ve really tried to be as flexible as possible.”

Pluto revamps its Landlord Solutions

Adding to the wave of BTL mortgage enhancements, Pluto Finance has revamped its Landlord Solutions for loans between £1 million and £10 million, introducing fixed rates from 0.62%.

Tailored for professional landlords and investors, this product supports a variety of needs—acquisition, refinancing, refurbishment or conversion.

The offering covers diverse property types such as residential, mixed-use, HMOs, student housing, commercial units and conversion schemes.

With a surge in demand for funding income-generating assets requiring swift transactions, the offering has already facilitated several deals this year.

Mario Ioannides, an associate partner, said: “We recognise the importance of transparency in the lending market.

“Our updated rates reflect our ongoing commitment to providing competitive and flexible financing solutions for landlords.

“Whether acquiring, refinancing or undertaking refurbishment or conversion projects, our Landlord Solutions product ensures our clients have tailored funding that supports their investment strategies.”

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