Buy to let mortgage rates cut across lenders

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Buy to let mortgage rates cut across lenders

Several lenders have cut buy to let mortgage rates and expanded product ranges, with changes spanning five-year fixes, trackers and short-term let deals.

Fleet Mortgages has reduced pricing by 20bps on its 3% fee, 75% LTV five-year fixed products across standard, limited company and HMO and MUFB ranges.

Rates now stand at 5.04% for standard and limited company borrowing and 5.49% for HMO and MUFB.

Alongside the cuts, the lender has reintroduced a wider set of five-year fixed options.

These include zero-fee and £3,999 fee products, with standard and limited company pricing at 5.69% and 5.39% respectively.

Equivalent HMO and MUFB options start from 6.14% for zero-fee and 5.79% for the £3,999 fee.

Fleet lowers rates

Fleet has also launched three two-year product transfer tracker products across all ranges.

Standard and limited company trackers are priced at Bank Base Rate plus 0.5%, currently 4.25%, while HMO and MUFB products are set at BBR plus 1.15%, currently 4.90%.

Each carries a 2.5% completion fee.

The lender’s chief commercial officer, Steve Cox, said: “Some landlords are looking for longer-term certainty and are comfortable paying for that through a fixed fee, while others are more focused on managing initial outlay or retaining flexibility.

“That is why maintaining a range that works across those different needs is key, particularly when market conditions remain changeable.”

CHL revamps BTL range

CHL Mortgages has cut rates by up to 25bps on short-term let products and by up to 10bps across its limited edition buy to let range.

Limited edition deals for single dwellings now start at 2.85%, rising to 2.95% for HMO and MUFB properties with up to six bedrooms or units.

Short-term let products, including holiday lets and serviced accommodation, now begin at 3.46%.

The range is open to individual and limited company landlords, with fee options, up to 80% LTV and free valuations on selected short-term let products.

Roger Morris, the distribution director for CHL, said: “The reductions reflect our focus on delivering greater value for landlords while giving them the opportunity to diversify their portfolios and explore other investment opportunities.”

Darlington BS cuts BTL rates

Darlington Building Society has reduced rates across its buy to let range, with selected products cut by up to 50bps.

Its five-year fixed standard product at 80% LTV is now priced at 5.49%, down from 5.99%.

Darlington’s head of mortgage distribution, Chris Blewitt, said: “We have focused on making meaningful reductions where we know there is demand, particularly within buy to let and higher LTV residential lending.

“As always, the aim is to remain consistent in how we approach lending, with a common sense view on cases and a willingness to look at scenarios that may not fit a more automated approach.”

Leeds BS is pick of the week

A two-year fixed BTL deal from Leeds Building Society at 60% LTV has been highlighted in the latest Moneyfactscompare.co.uk’s ‘Pick of the Week’.

The product is priced at 4.79% until 31 July 2028 with a £1,499 fee, and includes a free valuation and support with remortgage costs.

Caitlyn Eastell, a personal finance analyst at the platform, said: “The two-year option at 60% loan-to-value takes a prominent position as a best buy and is priced at a competitive 4.79% until 31 July 2028.

“Landlords looking to save on upfront costs may be pleased to note that the £1,499 product fee is offset by its attractive incentive package which includes a free valuation for both second time and remortgage customers, however, remortgage customers could also receive help towards costs.”

Aldermore’s new BTL fees

Aldermore has also reduced fixed rates by 0.20% across its buy to let range and reintroduced a wider selection of fee structures.

New two- and five-year fixed products are available from 3.99%, with multiple options at 75% and 80% LTV.

Products include a two-year fixed at 75% LTV with a 3% fee at 4.99%, and a five-year fixed at 75% LTV with a 7% fee at 4.84%.

Additional five-year options include a 1.5% fee product at 5.94% and an £1,999 fee version at 6.14%.

For portfolio landlords, rates start from 3.94% following the same 0.20% reduction, with new five-year fixed options including a 7% fee product at 4.79% and a 1.5% fee version at 5.89%.

Existing borrower product switch rates have also been reduced, with two-year fixes starting from 6.79%.

New five-year fixed zero-fee products are available at 70% and 75% LTV at 6.54%, and at 85% LTV at 7.04%.

Aldermore’s director of mortgages, Jon Cooper, said: “Our latest rate reductions, alongside the reintroduction of discount products and a broader range of fee options, are designed to help brokers support their clients in a changing market.”

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