The new product has a rate of 4.34 per cent and is available to employed and self-employed non-professional landlords, with a £1495 fee and 1 per cent cashback for Santander current account customers.
The minimum purchase price for a property with the loan is £75,000, with a maximum of £750,000. Applicants must already have a residential or buy-to-let mortgage, while the gross rent on a property must cover the mortgage payment plus anticipated running costs.
The lender has also reduced rates on a selection of other BTL mortgages by 0.30 percentage points, dropping its two-year fixed-rate product at 60 per cent LTV from 2.99 per cent to 2.69 per cent, with cashback and a £1495 fee.
| Other reductions include: |
• Two-year fixed at 75 per cent LTV, reduced from 3.49 per cent to 3.19 per cent with cashback and £1495 fee. • Two-year tracker at 75 per cent LTV, reduced from 3.35 per cent to 3.05 per cent with cashback and £1495 fee. |
Brad Fordham, managing director of Santander for Intermediaries, said: “The growing buy-to-let market is a key sector for Santander for Intermediaries. We have listened to feedback from our intermediary partners and these latest changes, which include the launch of our five-year fixed for landlords seeking guaranteed payments for the longer term, demonstrate our commitment to this sector.”
Adviser verdict
Matt Hardman, director of The Buy-to-Let Broker, Merseyside: “Santander for Intermediaries is not a lender we use every day, but this looks like a good deal over the five-year term, with only Accord Mortgages beating it on total cost. Because Santander now allows self-employed customers, it should open up a new portion of the buy-to-let market. The fixed fee is also good for larger loan amounts.”
