Skipton Building Society has reduced selected BTL fixed rates by up to 0.25 of a percentage point and included high fee options to 75 per cent over each fixed-term, two-, three-, five- and seven-year loans.
Skipton said it was breaking new ground with the competitive BTL range, 50 per cent of which were long-term offerings.
The new range includes high fee options to 75 per cent over each fixed-term, two-, three-, five- and seven-year mortgages, and new seven-year fixed rate BTL mortgages, including low rates at 60 per cent, 70 per cent and 75 per cent loan to value.
Skipton has increased its BTL procuration fees by 15 basis points from 0.35 to 0.50 per cent for BTL cases from 17 September.
The two-year fix at 60 per cent LTV is available at 2.99 per cent, with an application fee of £245 and a procuration fee of £750. Up to 70 per cent LTV, the rate is 3.35 per cent and 3.55 per cent at 75 per cent LTV, the procuration fee increases to £1,750.
The five-year fix to 60 per cent LTV is 3.99 per cent, while the 70 per cent LTV is 4.29 per cent, and at 75 per cent the rate is 4.54 per cent
The seven-year fix at 60 per cent LTV is 4.60 per cent, at 4.94 per cent at 70 per cent and 5.24 per cent at 75 per cent LTV.
REACTIONS:
PROVIDER
Paul Darwin, head of intermediary sales at Skipton, said: “The new BTL range really is breaking new ground and offers something for everyone. In particular, it is great for landlords.
“We have also announced an increase in BTL procuration fees for brokers. Thus we can share the benefit of longer-term customer relationships. We continually review our position and we have seen encouraging growth in BTLs. So I am thrilled to announce an increase in procuration fees to 50 basis points across the BTL range.”
ADVISER
Stuart Cunningham, director of operations at Commercial Trust said: “This range is a sign that BTL lenders are gaining confidence and looking for a bigger share of the market. Skipton is already standing out with its higher procuration fees and innovative products.”
CHARGES
Remortgages qualify for free standard legal fees and a free standard valuation. There may be additional legal costs where the remortgage is above £1m. A free standard valuation is available on properties up to £1.5m. If a Homebuyers Report or buildings survey is required, the customer will incur the cost.
VERDICT
A Bank of England decision to raise rates may have been delayed by the latest inflation data, which also showed that the UK economy slowed during the summer. An eventual rise is inevitable and is likely to impact on homeowners and speculative property investors.
