It also brings back first-time landlord products
Specialist lender Landbay has reduced rates for buy-to-let loans on houses in multiple occupation (HMO) and multi-unit freehold blocks (MUFBs).
Rates on small HMO and MUFBs of up to six bedrooms/units have been reduced by 30 basis points (bps) on two-year fixed rates and 20bps on five-year fixes.
For standard property, there are also 15bps reductions on two-year fixed rates, down to 5.29% with a 2% fee, while the 3% fee option is 4.79%.
All reversion rates for both fixed rate and two-year tracker products are down to 3.49% plus the bank base rate (BBR) from 5% plus BBR for new applications.
“We reduced rates on our HMOs and MUFBs mortgage products for existing landlords three weeks ago,” Rob Stanton (pictured), business development director at Landbay, said. “I’m thrilled to report we have been able to lower rates again.”
Lender reintroduces products for first-time landlords purchasing HMOs/MUFBs.
For first-time landlords buying small HMOs or MUFBs up to 75% LTV, the two-year fixed rate is 5.09% and the five-year fix is 5.69%, both have a 3% fee.
The new pricing for existing small HMOs or MUFBs at 75% LTV on two-year fixed rates is 4.89%, down from 5.19% with a 3% fee. The other two-year fix option has a 2% fee and a rate of 5.39%, reduced from 5.69%.
For five-year fixed rates on existing small HMOs or MUFBs at 75% LTV, the options are 5.79% with a 2% fee, or 5.59% carrying a 3% fee.
“It’s also great news that we can reintroduce products for first time landlords buying small HMOs and MUFBs, which applies to properties with up to six bedrooms or units,” Stanton stated.
“We continue to watch the markets carefully and keep our rates as competitive as we can. Offering different fee options on our products means brokers can offer choice to landlords with varying financial needs.”
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