9:44 AM, 23rd November 2022, About 2 weeks ago 5
The specialist buy-to-let lender Landbay has revealed that it has reduced the rates on all of its five-year fixed rate mortgages by up to 0.30% and added two new products to its variable fee range.
Paul Brett, Landbay’s managing director, intermediaries, said: “For the second time in two weeks, we have been able to reduce our rates as the money markets start to stabilise.
“Our variable fee structure gives borrowers options which help them to meet rental requirements within the interest cover ratios, which have to be applied to buy-to-let mortgages.
He added: “A higher upfront fee and a lower interest rate result in a lower rental stress rate, which is beneficial for borrowers.
“But whichever fee and rate option is taken, the total overall cost will be similar over the initial offer period.”
Standard five-year products up to 75% LTV now start at 5.99% with a 4% fee, the 6.19% rate has a fee of 3% and at 6.39% the fee is 2%.
On standard five-year fixes up to 65% LTV, the product with the 2% fee has a rate of 6.29%, the 3% fee is 6.09% and a new 4% fee option has been added with a 5.89% rate.
Landbay’s green standard five-year fixed rate products, available for properties with an EPC rating of A-C, have been reduced by 0.20% and come with a 2% fee.
The 65% LTV product has a rate of 6.19% while the 75% LTV is set at 6.29%.
For landlords with small houses in multiple occupation (HMO) and multi-unit freehold blocks (MUFB), comprising of up to six bedrooms/units, there are five-year fixed rates up to 75% LTV.
The current product with a 2% fee has been reduced by 0.20% to 6.59% and a new option that carries a 3% fee has been introduced at 6.39%.
There is also a 0.20% rate reduction to 6.69% on large HMO/MUFB, up to 12 bedrooms/units, with a maximum 75% LTV.
Trading companies also benefit from 75% LTV five-year fixed rate reductions with standard property down by 0.30% to 6.49% and small HMO/MUFB rates reduced by 0.20% to 6.69%.
Rates in Landbay’s one and two-year fixed and tracker products remain unchanged.
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