Buy to let lenders launch new products and cut rates

Shawbrook, Landbay, Gatehouse Bank and Vida have each rolled out changes to their buy to let offerings, catering to a wide range of investors from first-time landlords to seasoned portfolio holders.

Shawbrook has revamped its BTL range, introducing greater flexibility for brokers and their clients.

The lender has replaced its Digital BTL product with the new SB1 – Single Lets, which supports up to 10 individual houses or flats under a single loan, with rates starting at 4.59%.

Borrowers can opt for Automated Valuation Models (AVMs) or physical valuations, depending on eligibility.

For those looking at Houses in Multiple Occupation (HMOs) or Multi-Unit Freehold Blocks (MUFBs), Shawbrook’s SB1 – HMO & MUFB product offers mortgages for up to 10 units or occupants, with rates from 4.89%.

The lender has also enhanced its broader range with 2%, 3%, or 5% arrangement fee options and fixed or variable rates over 2, 3, 5 or 10 years.

Shawbrook’s director real estate proposition, Daryl Norkett, said: “This refresh is about giving brokers the flexibility and confidence to support a wide range of professional landlords.”

Landbay cuts BTL rates

Meanwhile, Landbay has reduced rates across its entire BTL portfolio by up to 0.25%, covering its Premier, Core and Specialist ranges.

The Premier range, aimed at landlords with up to 15 properties in limited company SPVs, now offers two-year fixed rates at 75% loan-to-value (LTV) starting at 3.39% with a 4% fee.

A new product with a 1% fee starts at 4.89%.

The Core range, tailored for portfolio landlords, sees standard two-year fixed rates at 75% LTV drop by 0.10%, with rates from 3.69%.

The Specialist range, which includes small HMO and MUFB products, benefits from the largest cuts, with rates as low as 3.69% at 75% LTV.

Holiday let products in this range have also been reduced by 0.20%, starting at 3.99%.

The lender’s sales and distribution director, Rob Stanton, said: “This latest round of sizeable reductions covers our entire range and is designed to provide new and valuable routes for landlords of all shapes and sizes, and the intermediaries looking to support them.”

Gatehouse eases BTL criteria

Gatehouse Bank is to ease the criteria for its BTL Purchase Plans.

The lender has lowered the experience requirement for landlords purchasing HMOs or MUFBs to just one year of residential landlord experience, down from two years or specific HMO/MUFB expertise.

This change applies to both UK and overseas customers.

Gatehouse has also simplified its top-slicing process for UK applicants, now requiring only one month of payslips and bank statements instead of three.

The bank’s head of customer propositions, Gemma Donnelly, said: “Changes will not only set us apart from other providers but will enhance the customer journey for those looking to purchase a buy to let property with us.”

Vida’s help for accidental landlords

Vida is expanding its specialist lending with a new Consumer BTL range aimed at accidental and non-professional landlords, such as those who inherit properties.

This regulated product offers extra protections, the lender says, makes it easier for brokers to serve clients outside the traditional landlord mould.

Vida has also introduced a Holiday BTL range for short-term rental investments and a Let to Move On proposition, which supports clients letting properties while relocating or transitioning.

Its head of mortgage product management, Ross Williams, said: “We’re proud to be evolving our buy to let offering in ways that reflect the real-world needs of landlords and the brokers who support them.”

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