The competition charge on the aforementioned loans varies from 1 per cent to 2 per cent. An application fee is also applicable.
Mr Young is certainly correct when he says that it has been an interesting few months for the buy-to-let marketplace. The market has seen the introduction of more red tape under the Mortgage Credit Directive, which was implemented in March this year. What is more, the market saw an artificial hike in applications at the start of the year as borrowers sought to secure a loan ahead of the increase in stamp duty on buy-to-let properties.
The buy-to-let arena is certainly not as appealing as it has been in the not-too-distant past. Here, it would appear that the lender is attempting to reignite enthusiasm among current and prospective landlords with competitive rates. The percentage-based completion fee, however, could be a bug bear for many – particularly those who are seeking to take out a sizeable loan.