The first of these products is a MT Select two-year stepped fixed rate product with a headline rate of 4.82 per cent fixed until 31 March 2008. The rental income is based on 125 per cent of 4.82 per cent and the arrangement fee is 1 per cent capped at £1,500. The second product from MT Select which has a flat arrangement fee and is fixed at 5.29 per cent until 31 March 2009.
MT Select products have streamlined criteria requirements and are available exclusively through the MT Select packager panel.
Details of the MT Select fixed rate products are:
4.82 per cent two-year buy-to-let stepped fixed
• Fixed at 4.82 per cent until 31 March 2008
• Fixed at 5.42 per cent until 31 March 2009
• 1 per cent arrangement fee capped at £1,500
• Up to 85 per cent LTV
• Rental income assessed on 125 per cent of 4.82 per cent headline rate
5.29 per cent buy-to-let fixed
• Fixed until 31 March 2009
• Flat £799 arrangement fee
• Up to 85 per cent LTV
• Rental income assessed on 125 per cent of 5.29 per cent
Mortgage Trust have also launched two core range fixed rate products. Available to limited companies and expatriates as well as standard borrowers, Mortgage Trust core products provide more specialist buy-to-let funding solutions. The first of the core range products is priced at 5.25 per cent and is fixed until 31 March 2008, whilst the second, priced at 5.89 per cent, is fixed until 31 March 2010. The products are offered with a flat arrangement fee of £699, there are no overhanging early redemption charges and both products are available with a rental income requirement of 125 per cent of 5 per cent.
Details of the core range fixed rate products are:
5.25 per cent buy-to-let fixed
• Fixed until 31 March 2008
• Flat £699 arrangement fee
• Up to 85 per cent LTV
• Rental income assessed on 125 per cent of 5 per cent reference rate
• Available to limited companies and expatriates
5.89 per cent buy-to-let fixed
• Fixed until 31 March 2010
• Flat £699 arrangement fee
• Up to 85 LTV
• Rental income assessed on 125 per cent of 5 per cent reference rate
• Flexible
• Available to limited companies and expatriates
Austin Jelfs, head of sales at Mortgage Trust, commented: “With the latest figures from the Department of Communities and Local Government reporting that there are now an estimated 2.5 million private renters in England, a 22 per cent increase since 2001, it is clear that the attitude to renting has undergone a significant shift. Buy-to-let investors are utilising this ever increasing demand and with the prospect of further rate rises on the horizon many will be looking to fix their mortgage costs. Our new range of fixed rate buy-to-let products caters for a wide variety of property investment funding requirements. Borrowers have the option of fixing for the short or medium term, and are able to utilise competitive rates and favourable rental income calculation requirements.”
