TMW, Accord, HSBC and Darlington cut buy to let mortgage rates

The Mortgage Works and Accord are among the buy to let lenders cutting their mortgage rates, following five lenders who did so late last week.

The latest reductions cover individual landlords, limited company borrowers, let-to-buy, houses in multiple occupation and holiday let cases.

HSBC and Darlington Building Society are also reducing or highlighting new landlord products.

The Mortgage Works has cut selected one-, two- and five-year fixed rates by up to 0.22 percentage points for new and existing customers across its BTL, let-to-buy, HMO and limited company ranges.

Its five-year fixed remortgage product at 65% LTV is now priced at 4.22%, down by 0.22 percentage points, with a 3% fee, free valuation and free legal work.

Further BTL rate cuts

An existing customer switcher version of the five-year fix has also been reduced to 4.22%, down by 0.07 percentage points, with a 3% fee and availability up to 65% LTV.

Another five-year fixed remortgage product, also up to 65% LTV, has been cut by 0.20 percentage points to 4.69%, with a £1,495 fee, free valuation and free legal work.

Limited company borrowers are also included in the rate reductions. A five-year fixed rate for purchase and remortgage, with free valuation, is now 5.49% at up to 75% LTV, down by 0.18 percentage points, with no fee.

Two existing customer switcher products for limited company landlords have each been cut by 0.05 percentage points.

One is a two-year fix at 5.44%, with a £1,495 fee, and the other is a fee-free two-year fix at 5.94%. Both are available up to 75% LTV.

The lender’s lead manager, Keir Fraser, said: “We are pleased to announce further rate cuts across our mortgage range, our third set of cuts in the past month.”

Accord lowers BTL rates

Accord Mortgages has also reduced rates across its buy to let product ranges, with two-year fixed rates for landlord clients cut by up to 0.30 percentage points.

Three-year fixed rates have been reduced by up to 0.25 percentage points, while five-year fixed rates are down by up to 0.22 percentage points.

Among Accord’s revised deals is a two-year fixed rate at 4.87%, previously 5.17%, for remortgaging landlords at 60% LTV.

The product carries a £995 fee and includes free standard valuation and remortgage legal service.

A five-year fixed rate for remortgages at 75% LTV has been cut to 4.87%, from 5.09%, with a £3,495 fee, free standard valuation and remortgage legal service.

Aidan Smith, Accord’s mortgage product manager, said: “We’re pleased to take this opportunity to improve the competitiveness of our range across the board, ensuring better value across a wide range of options for brokers and their clients, whether they are looking to finance a buy to let property, these changes provide greater choice.”

HSBC’s BTL is ‘best buy’

Moneyfactscompare.co.uk has named HSBC’s five-year fixed rate mortgage at 65% LTV as its buy to let Pick of the Week.

The product is priced at 4.57% fixed to 31 July 2031, with a £3,999 product fee, free valuation and a maximum LTV of 65%.

It is available to second-time buyers and allows overpayments.

Caitlyn Eastell, a personal finance analyst at the platform, said: “While landlords face a large £3,999 product fee, this is partially offset by its free valuation incentive.

“Overpayments are permitted by up to a maximum 20%, which may be a bonus for some.”

Darlington lowers BTL and holiday lets rates

Darlington Building Society has reduced rates across selected buy to let and holiday let products by up to 20 basis points.

The changes apply immediately across selected two- and five-year fixed-rate products for purchase and remortgage business.

Its standard BTL two-year fixed rate is now 5.49%, while its holiday let two-year fixed rate is now 5.59%.

Darlington says its buy to let and holiday let criteria include no minimum income requirement, no maximum age and support for first-time landlords.

It will also consider borrowers remortgaging a former residential property to buy to let.

The society has no six-month ownership rule, accepts Airbnb for holiday let applications and allows up to 90 days’ personal use on holiday let properties.

Chris Blewitt, its head of mortgage distribution, said: “One of the biggest challenges for brokers at the moment isn’t necessarily finding a mortgage, it’s finding a mortgage that genuinely fits the client’s circumstances.

“Brokers need lenders that can look at the full picture rather than at a rate that’s competitive, which is why we’ve continued to focus on both pricing and flexibility across the range.”

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