Foundation and CHL reveal cheaper BTL mortgage deals

Foundation Home Loans, through its arm ‘Buy to Let by Foundation’, has announced a series of price cuts on a range of BTL mortgage products.

The move comes after the launch of a new limited-edition product in June.

The most significant reductions are for two-year fixed-rate products, with rates dropping by 15 basis points for both their F1 (prime borrower) and F2 (more complex properties or borrowers with credit blemishes) tiers.

Rates on these products now start from 6.49% with a 1.5% fee.

Direction of travel has been downwards

Tom Jacob, the director of product and marketing at Foundation, said: “Advisers will have noted over the past few weeks in particular that the direction of travel on rates has been downwards, and at ‘Buy to Let by Foundation’ we’re pleased to announce a series of further price cuts by up to 15 basis points across a number of F1 and F2 products.

“Our two-year fixes for both F1 and F2 borrowers have seen a considerable cut, while we’re also focused on supporting existing landlord borrowers who are not seeking to add to their loans and are instead seeking pound-for-pound remortgages at competitive rates.”

He added: “Other price cuts come across a number of F2 products including Large Portfolio, HMO and Short-Term Lets, all areas which have grown in popularity amongst landlords particularly as they seek higher-yielding property investments.”

Remortgaging without increasing borrowing

Landlords looking to remortgage without increasing their borrowing will also benefit.

Foundation cut rates on its pound-for-pound remortgage products by up to 10 basis points.

These two-year fixed rates now start at 6.64% with a 1.5% fee.

Foundation has also announced targeted reductions on specific property types:

• Large Portfolio Mortgages (F2): Rates reduced by 10 basis points to 6.79%, with a free valuation and a lower fee
• Houses in Multiple Occupation (HMOs) (F2): Rates dropped by up to 10 basis points, starting from 6.74%
• Short-Term Let Mortgages (F2): Reduced by up to 5 basis points, with rates starting from 6.89%.

Finally, Foundation has reduced the product fee on its five-year fixed-rate large loan product by 0.25%.

Shawbrook streamlines buy to let Remortgaging process

Meanwhile, existing buy to let investors with Shawbrook can now benefit from a faster remortgaging process with the introduction of ‘Switch & Fix’.

This streamlined system aims to simplify switching from an expiring fixed rate to a new one with minimal hassle.

Key features of Switch & Fix include:

• Less paperwork: Designed to reduce the need for new documentation
• Potentially avoids valuations and solicitor involvement
• Available to existing buy-to-let and commercial investment customers under specific criteria
• Existing customers receive a discount on the standard arrangement fee.

‘Switch & Fix’ underscores Shawbrook’s dedication to making the remortgage process as smooth as possible for its customers, especially in a volatile market.

CHL Mortgages returns with specialist buy to let products

Specialist buy to let lender CHL Mortgages has relaunched its product range after a temporary withdrawal earlier this year.

The range caters to landlords with specific financing needs, including:

• Trading companies owning rental properties
• Properties on short-term lets
• Larger or complex HMOs and multi-unit freehold blocks (MUFBs).

The large HMO/MUFB range offers competitive rates and flexible terms for properties with up to 10 bedrooms or units.

Also support complex HMOs and MUFBs

CHL can also support complex HMOs and MUFBs, including those with bespoke accommodation or shared utilities.

The relaunch also brings back CHL’s short-term let product range for Airbnb, holiday lets and serviced accommodation investors.

The lender has also reintroduced its offering for borrowers with minor credit issues.

CHL’s commercial director, Ross Turrell, said: “This relaunch, coming hot on the heels of our core buy to let range refresh and introduction of a range of competitive limited-edition products further underlines our continued commitment to the specialist buy to let market.

“Combined with our human-focused underwriting approach, the enhanced flexibility of these relaunched product ranges offers our intermediary partners and their clients the support they need to maximise their investment opportunities.”

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