MortgagesNov 26 2015

Rates cut on Platform’s mainstream and BTL products

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Platform, the intermediary lender of The Co-operative Bank, has lowered rates for brokers by up to 0.25 percentage points across a variety of its mainstream and buy-to-let mortgages.

At 75 per cent LTV, two-year fixes are now priced at 1.56 per cent, with 2.54 per cent for five-year fixes. A £1,499 arrangement fee is applicable to both loans.

A three-year fix is available with a rate of 2.49 per cent at 80 per cent LTV with no arrangement fee.

Two-year tracker loans have also been discounted, with rates from 1.44 per cent at 60 per cent LTV with a £999 arrangement fee.

Reductions on the buy-to-let mortgage range include two-year and five-year fixes at 60 per cent LTV priced at 2.14 per cent and 3.24 per cent with a £1,999 arrangement fee respectively.

At 70 per cent LTV, three-year fixes come with a rate of 3.19 per cent, while the five-year fixes are priced at 3.69 per cent – both with a £1,999 arrangement fee.

In addition buy-to-let two-year tracker rates start from 2.14 per cent at 60 per cent LTV with a £1,999 arrangement fee.

All mainstream mortgage deals come with a free standard valuation for remortgages and purchasers, plus free legals for remortgages. A £250 cashback is also available on selected products.

The buy-to-let mortgage deals include free legals for remortgages and there is a maximum £500 cashback on some products.

Provider view

Stuart Beattie, head of mortgages at Platform, said: “We are continuing our trend of reviewing our product rates to provide a range of competitive options.

“Our latest reprices across mainstream and buy-to-let mortgages means brokers have a variety of great deals to offer their clients.”

Adviser view

Commenting on the two-year and five-year fixed rate buy-to-let loans at 75 per cent LTV, James Carter, principal for London-based Independent James, said: “The rates do sound very competitive. Platform has some competitive interest rates – it seems keen for business. Being part of an ethical co-operative helps when you are preparing rates for clients.

“The price war in the mortgage market has slowed a bit. I do not know how much lower rates can go.

“Mortgage enquiries tend to slow at this time of year, but we are being kept busy by remortgages.”

He added: “Demand for buy-to-let mortgages remains high. The tax change has tempted people’s enthusiasm.”

Charges

Charges range from £0 to £1,999

Verdict

As the year approaches its end, activity in the mortgage marketplace has somewhat subsided – a far cry from the price war that was rampant in the summer months. This is not to say that competition in the market has ground to a halt as several lenders have discounted offerings to tap into the growing demand for mainstream and buy-to-let mortgages.

What is particularly interesting here is that the lender has opted to implement the same rate and arrangement fees on its two-year buy-to-let fixed-rate and two-year tracker mortgages. Tracker loans have come into the limelight in recent times with a number of providers making these products even more desirable by making the rate of interest lower than that applicable to its fixed-rate equivalent – ahead of what many consider an imminent rise in base rates.