Sesame extends buy-to-let offering in new tie-up

Sesame extends buy-to-let offering in new tie-up

Sesame has launched buy-to-let mortgage products with State Bank of India, the largest commercial bank in India and a new entrant to the intermediary market in the UK.

SBI’s buy-to-let product range is available up to 70 per cent loan to value and includes three and five-year tracker products starting from 2.99 per cent. It also has a selection of five-year fixed rate products with a choice of no arrangement fee, a flat fee or a percentage fee starting from 3.79 per cent.

The bank will consider applications from individuals and via special purpose vehicles or limited liability partnerships.

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John Cupis, managing director for mortgages at SBG, said: “We are very pleased to have further extended our offering with the addition of State Bank of India’s buy-to-let products and I am sure the bank’s competitive rates and prudent yet realistic approach to mortgage lending will prove popular with our members.”

Recently a handful of lenders announced they were looking at buy-to-let. TSB has announced that it is considering expanding into buy-to-let and remortgaging by the mid-2015, while last week, Foundation Home Loans also launched a sustainable buy-to-let offering for the intermediary market.

Some have argued the new pension freedoms, to come in next month, could cause a buy-to-let property rush, however most smaller pot consumers may find they do not have a large enough pot and there have been warnings about the tax implications on the initial withdrawal, the house purchase and income tax in the year following a purchase.