It launches lower LTVs, with rates starting at 4.39%
Specialist lender Landbay has expanded its five-year fixed rate buy-to-let mortgage range with the introduction of lower loan-to-values (LTVs).
Landbay has brought in new LTVs of 55% and 65% on loans up to £1.5 million. These five-year fixed rates are for standard properties, with rates now starting at 4.39%.
The new offering is in addition to the existing 75% LTV products which have a new maximum loan size of £1 million, increased from £500,000.
There is a variable fee structure from 2% to 7% on selected products. The following are examples of Landbay’s standard five-year fixed products:
- 55% LTV at 4.39% - 7% fee
- 55% LTV at 5.39% - 2% fee
- 65% LTV at 4.49% - 7% fee
- 65% LTV at 5.49% - 2% fee
- 75% LTV at 5.09% - 5% fee
- 75% LTV at 5.69% - 2% fee
Landbay launched its initial special edition five-year fixed rate buy-to-let mortgages last month.
“As we settle into 2023, we have again been able to bring mortgage rates down, plus we have expanded our LTV range,” Paul Brett (pictured), managing director of intermediaries at Landbay, said. “We are taking a bold step in having products with fees up to 7%, but it is in response to broker feedback for flexibility around the interest cover ratio (ICR). Brokers who understand the buy-to-let market will know which rate and fee combination is right for their clients.
“The choice of rates and fees will allow more landlord borrowers to pass the ICR calculation requirements, especially for basic rate taxpayers as we lowered the ICR last week to 125% from 140%.”
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