Political certainty opens buy-to-let floodgates

Political certainty opens buy-to-let floodgates

With parliamentary continuity following the re-election of the Conservative party to power last week, several lenders have expanded their buy-to-let offerings this week.

The Nottingham’s deputy treasurer Chris Gardner explained that while the run-up to the election saw the UK markets weighed down by uncertainty, with that now lifted, the building society took the opportunity to refresh its prices.

“The range of fixed rate buy-to-let mortgages now includes a new, lower loan-to-value range, whilst the rate and fee on the existing five-year fixed at 75 per cent LTV have been reduced,” he said.

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“These will help borrowers who require budgeting certainty, as whilst the government have pledged to fix the term of each parliament to five years, the Bank of England cannot offer the same commitment for bank rate.”

As reported on Wednesday, TSB Intermediary joined the buy-to-let market, initially offering five-year buy-to-let deals, available up to 75 per cent loan-to-value, with a maximum loan size of £500,000 and a maximum of four applicants.

Meanwhile, The Melton has re-entered the buy-to-let market by launching three new products, also following feedback both from intermediaries and customers.

Earlier today (15 May) buy-to-let specialist Fleet Mortgages announced further expansion plans for the business, recruiting several new employees, particularly in its underwriting team.

To accommodate the growth in employee numbers and the expansion plans for the business, Fleet will be moving to new permanent headquarters in the town to the same name during August.

Bob Young, chief executive at the firm, added: “We have already recruited a number of new employees to the Operations team and we will be adding further experienced personnel to the business shortly.

Here are all the rates that were publicly announced this week:

LenderLTV/Type Headline Rate Product Fee
Nationwide60%/10-year fixed3.04%£0
Nationwide60%/10-year fixed2.94%£999
The Melton60%/Standard BTL2.79%£399
The Melton60%/Holiday BTL3.35% £599
Accord Mortgages65%/2-year fixed1.49%£345
Accord Mortgages65%/2-year fixed1.64%£345
Accord Mortgages65%/3-year fixed1.94%£845
Accord Mortgages65%/3-year fixed2.04%£845
Yorkshire Building Society65%/four-year fixed1.89%£845
Nottingham Building Society65%/2-year fixed3.09% (BTL)£499
Nottingham Building Society75%/5-year fixed4.09% (BTL)£999
Yorkshire Building Society75%/4-year fixed2.29%£845
Nationwide75%/10-year fixed2.94%£999
Nationwide75%/10-year fixed3.04%£0
The Melton75%/Family BTL3.75%£399
Leeds Building Society75%/5-year fixed rate HTB 2.99%£199
Leeds Building Society75%/2-year fixed rate HTB 2.34%£199
Leeds Building Society75%/2-year discount HTB1.99%£199
Leeds Building Society75%/2-year fixed2.09%£199
Leeds Building Society80%/2-year fixed2.19%£199
Leeds Building Society 80%/5-year fixed2.94%£199
Leeds Building Society 80%/5-year fixed2.69%£1,999
Nationwide80%/10-year fixed2.94%£999
Nationwide80%/10-year fixed3.04%£0
Nationwide85%/5-year fixed3.24%£999
Nationwide90%/5-year fixed3.84%£999
Yorkshire Building Society90%/4-year fixed3.54%£845