The products offer rates of 5.29 per cent (Bank Base Rate plus 0.79 per cent) and 5.49 per cent (Base Rate plus 0.99 per cent) for two years. Early repayment charges apply to the 5.29 per cent rate on full redemption with no early repayment charge applicable to the 5.49 per cent product. Both mortgages have flexible features such as a drawdown facility, payment holidays and overpayments.
Dev Malle, director of sales at Pink Home Loans, said: “These products not only offer the landlord a good current pay rate but the flexible options including payment holidays are becoming more and more important to them.
“With no overhang at the end of the two-year period this also provides the landlord the freedom to continually assess their property portfolio to ensure they obtain a market-leading pay rate.”
“As an alternative the 5.49 per cent product for two years has to be one of the best flexible buy-to-let products in the marketplace as it has the added benefit of no early repayment charge as well as offering flexible features,” Malle added.
Roger Woodall, director at Hayburn Rock Associates Ltd, said as the buy-to-let market continues to grow, these products are likely to be attractive to a number of landlords. “The deals offer the customer a competitive rate and as they are linked to the Bank Base Rate, any future reductions to interest rates would have a positive impact.
“Landlords require flexibility and this option is certainly beneficial to them. I’ve found BM Solutions’ online system a smooth process which is what professional landlords want when they are either remortgaging or adding to their portfolio,” he said.
