It reduces rates by 20bps
Specialist buy-to-let lender Fleet Mortgages has reduced rates on all its standard and limited company five-year fixes by 20 basis points (bps).
The lender has slashed rates across these products, including five-year fixed rates for standard/limited company borrowers, with rates now at 5.14% for at 70% loan-to-value (LTV) and 5.54% at 75% LTV. The standard/limited company five-year fix at 70% LTV comes with a 5% fee, while all other five-year products come with a 3% fee.
Fleet’s green five-year fix product for properties with an energy performance certificate (EPC) rating between ‘A’ to ‘C’ had its rates cut to 5.44%, available up to 75% LTV.
All products come with an interest coverage ratio (ICR) based on the product’s pay rate, calculated at 125% for basic rate taxpayers and 145% for higher rate taxpayers.
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Fleet continues to offer landlord borrowers a £1,000 cashback payment if they improve the EPC level of the property to a ‘C’ or above during the course of the initial fixed-rate period.
“A more certain interest rate environment has many benefits, not least calmer money markets, which in turn gives us further options to make product pricing moves,” commented Steve Cox (pictured), chief commercial officer at Fleet Mortgages.
“Since the Bank of England’s decision to hold bank base rate was announced last week, we’ve seen some further downward movement in swaps, and coupled with the strength of our own funding position, we’ve been able to make these price cuts across both our standard and limited company five-year fixes, plus our specific green five-year fixed rate option.
“Fleet also now offers product transfer options to existing borrowers at the end of their special deals, and together with this keener pricing, we believe advisers have a growing number of more competitively priced options for their landlord borrowers.
“Given the ongoing movements in the money markets, plus greater levels of competition, we’re actively reviewing all our products and rates, and we anticipate making further announcements on the range in the near future.”
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