Foundation Home Loans has cut rates across its standard and HMO ranges, and launched a new limited edition limited company buy-to-let five-year fix and two new short-term let products.
The limited company product is priced at 3.24%, 10 basis points below Foundation’s core limited company range, with a reduced 1.5% fee and is available up to 75% LTV with a maximum loan amount of £1 million, and ICR calculated at 125% of pay rate.
The lender welcomes portfolio landlords and has no limit to the background portfolio size for each borrower, subject to a maximum of £3m with Foundation.
New short-term let products includer a two-year 65% LTV discount of 1.6% giving a current pay rate of 3.49%, and a 75% LTV 1.2% discount giving a current pay rate of 3.89%.
Foundation has also made a series of rate cuts across a number of buy-to-let products.
A standard two-year F2 (for borrowers with some credit blips) at 65% LTV has reduced to 3.19% from 3.24%, and at 75% LTV to 3.34% from 3.39%. A five-year F2 fix at 65% LTV has been cut from 3.44% to 3.39% and a 75% LTV product has been cut to 3.54% from 3.64%. All products come with a 2% fee.
New HMO products include a five-year F2 at 65% LTV reduced to 3.49% from 3.59% and at 75% LTV to 3.64% from 3.74%, both with a 2% fee.
Additionally, Foundation has cut rates on its current short-term let products, reducing its five-year fix at 65% LTV to 3.99% from 4.19% and the 75% LTV to 4.29% from 4.79%.
George Gee, commercial director at Foundation Home Loans, said: “There’s no doubting that the Budget announcement on stamp duty has eased a number of worries about purchase completion, but it has also resulted in an increased activity impetus particularly from landlords.
“Landlords continue to seek out properties that can deliver strong yield – hence the focus on HMO and short-term lets – and as a lender active in these areas we want to ensure advisers and their clients have access to a highly competitive range, right across the buy-to-let product space. Along with our flexible criteria and our personal service, we believe this current range will be of huge benefit to many advisers and their landlord clients.”
Original Article from Financial Reporter 07/04/2021