FHL, Paragon and Aldermore unveil lower BTL rates

FHL, Paragon and Aldermore unveil lower BTL rates

9:34 AM, 15th August 2024, About 3 months ago 2

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‘Buy to Let by Foundation’, the BTL brand of specialist lender, Foundation Home Loans, has revealed lower rates across its core buy to let product range by up to 30 basis points (bps).

This follows price reductions announced last week on their ‘Specials’ offerings.

The latest cuts impact a wide variety of mortgages, catering to different needs and credit scores. Here are some highlights:

Price cuts for three product tiers

The lender’s director of product and marketing, Tom Jacob, said: “There are price cuts across our three product tiers, F1 through to F3, for more specialist property types and those with more recent blips on their credit rating, and in a number of niche areas such as our EPC Saver products which provide full and comprehensive EPC information for a landlord.

“Additionally, there are pricing improvements across the remortgage-only products, mortgages for those seeking larger loans, or those who are seeking to add to, or remortgage, properties within larger portfolios.”

Wide range of Core products

The price cuts cover a wide range of Core products include:

  • EPC Saver (free EPC Plus document and £1,000 cashback): Two and five-year fixed rates reduced by 10bps, starting at 5.84% (up to 75% LTV)
  • Fee-assisted Remortgage-Only (five-year fixed): Rates down by 25bps, starting at 5.84% (up to 75% LTV), with a £1,295 fee and £500 cashback
  • HMO Limited Edition (five-year fixed): Rate reduced by 5bps to 5.69% with a fixed £4,995 fee
  • Holiday Let (two and five-year fixed): Rates cut by up to 20bps, starting at 6.34% (up to 70% LTV), with a 2% fee.

Paragon also cuts BTL mortgage rates

Paragon Bank has announced a refresh of its buy to let mortgage range, featuring rate cuts of up to 20 basis points (bps) on 20 products.

The new deals offer landlords greater flexibility with a choice of fee options and increased loan-to-value (LTV) on select products.

Key highlights of the refreshed range include:

  • Lower rates: Two-year fixed rates start from 4.60% for properties with EPC ratings A-C, while five-year fixes begin at 5.45% for similar properties
  • Fee options: Landlords can choose from nil, 3%, 5%, or £2,995 fees
  • Increased LTV: The £2,995 fee product is now available up to 75% LTV, previously 65%, for houses in multiple occupation (HMO) and multi-unit blocks (MUB)
  • Larger loans: The £2,995 fee product has no maximum loan cap, allowing borrowers to secure up to £4 million for SSC/HMO/MUB properties.

Opportunity to carry out a positive refresh

Paragon’s managing director for mortgages, Louisa Sedgwick, said: “An improving economic outlook gives us the opportunity to carry out a positive refresh of our range, taking up to 20 bps off 20 products.

“We’ve also simplified our offering, and borrowers can choose from deals with nil product fees, percentage fees or a flat fee of £2995.”

Aldermore also cuts rates for landlords

Aldermore has also announced rate reductions across its buy to let mortgages, offering more competitive options for landlords.

New BTL customers can benefit from rate cuts of up to 0.20%.

Jon Cooper, the director of mortgages at Aldermore, said: “We’re pleased to introduce these rate cuts, providing more choice and value. This comes at a time of growing optimism in the housing market.”

For assistance with any type of buy to let (BTL), property or commercial finance please complete the contact form below:

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Reluctant Landlord

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10:34 AM, 15th August 2024, About 3 months ago

lower as much as you like....private letting is such a toxic environment with the government only showing signs of making it worse, it's not just a stable investment opportunity anymore, it more like a financial gamble with no stability and the guarantee of even getting your asset back.

GARY RIVETT

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11:39 AM, 15th August 2024, About 3 months ago

Reply to the comment left by Reluctant Landlord at 15/08/2024 - 10:34I agree, I never before even considered selling any stock from my portfolio, while I am fortunate enough to have mostly excellent tenants, I do have one tenant in particular who is very pushy, i.e she asks for permission to have a small dog, I agree, then one year later she has a large dog, rodents in a cage, 2 cats and a parrot, you know the sort of tenant I mean. I am now seriously considering eviction and selling this and the rest of my single-family let properties due to the threat of the new laws on the horizon, with the realisation that I will lose all control of my assets.
Seriously; we won't be able to evict a tenant if eviction makes them worse off, what a senseless and moronic law thought up by a complete idiot.

There must surely now be far better investment opportunities than the PRS, which is wholly toxic.

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