The exclusive deal is only available through Pink and offers individuals the flexibility of using their income to purchase a buy-to-let property should the rental calculation be tight.
The two-year tracker deal at 4.99 per cent (Bank Base Rate plus 0.49 per cent) until 31 May 2008 has an arrangement fee of 1.5 per cent of the advance, which can be added to the loan, and no early repayment charges.
Net commission is 0.5 per cent up to a maximum of £7,500 and a gross commission of £150 plus 0.90 per cent with a maximum of £10,000.
Tony Jones, managing director of Pink Home Loans, said: “We are very pleased to be the only distributor to offer this sub-5 per cent House-to-House deal. This type of product continues to be very popular because it allows the borrower the flexibility of using their income to purchase a buy-to-let property when the rental calculation is tight and the initial rate of 4.99 per cent is extremely competitive.”
Brian McDermott, national account manager at TMB, commented: ‘This is a great new deal for Pink Home Loans and reinforces our continued commitment to the relationship.”
Jas Jaspal, senior partner at Oakwood Financial Management, said; “House-2-House has always filled a specific gap in the buy-to-let market. The tracker rate of 4.99 per cent is particularly attractive as there is a likelihood of a BBR reduction over the coming months. Despite the 1.5 per cent arrangement fee, it’s fairly unique due to the combination of a low rate and no ERCs, which should make it a real seller against other buy-to-let products in the market.”
