The deals are aimed at existing clients with a portfolio of properties or a small number of BTL residencies, who wish to limit the impact of potential further rate rises with rental incomes remaining steady.
Deals include rates of 5.99 per cent up to 70 per cent loan-to-value (LTV) at a discount of 1.75 per cent, with no rental assessment, or 5.99 per cent up to 75 per cent LTV, again at a 1.75 per cent discount and available on 110 or 125 per cent rental income.
Another deal will be available up to 89 per cent LTV purchase and 85 per cent LTV remortgage at 6.19 per cent with a 1.55 discount.
Julie Gaskin, corporate relations manager for GMAC-RFC, commented: “Landlords are increasingly looking for cheaper borrowing, especially in the current environment. Now is the time for them to be looking at alternative options and lenders who can supply them with cheaper and more competitive ways of borrowing, which impact less on potential profit yield returns.”
Martin Wade, director of Mortgage Options, commented: “It’s a niche play, because where borrowers can show rental income there are probably cheaper deals out there. But where the borrower will have difficulty proving rental income, it’s a very good product. The BTL market is very buoyant and at the moment, I can’t see any let up in demand, as there are no concrete plans to up supply.”
