Buy-to-let  

Pepper revamps buy-to-let range

Pepper revamps buy-to-let range

Pepper Money has revamped its buy-to-let mortgage range.

The lender has reduced rates by up to 0.6 per cent on 20 products and slashed completion fees on all two-year fixed rates from 2 per cent to 1 per cent.

Rob Barnard, sales director at Pepper Money, said: “The dual impact of new regulation and tax rules mean that life is now a little more complex for every buy-to-let landlord.

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"At Pepper, we thrive on complex situations, with skilled underwriters who can unravel an interesting case and deliver a cost-effective solution. This revamp to our buy-to-let range makes it even easier for landlords, including portfolio landlords, to achieve an attractive rate and fee, even if they don’t fit the mould of a high street lender.”

The biggest reduction is 0.6 per cent on a five-year fixed rate up to 80 per cent loan-to-value (LTV) on the Pepper 24 range.

This is available to landlords who have not registered a county court judgment (CCJ) or default in the last 24 months.

Rates are now available from 2.95 per cent for a two-year fixed rate up to 70 per cent LTV on the Pepper 48 range.

This is for landlords who have not registered a CCJ or default in the last 48 months.

For landlords who have not registered a CCJ or default in the last 36 months, rates start at 2.98 per cent for a two-year fixed rate up to 70 per cent LTV.

All lending decisions are made by mandated underwriters rather than credit scoring and the whole range is available to portfolio landlords as well as those who have fewer than four mortgaged buy-to-let properties.

Daniel Hodgson, mortgage adviser at Ipswich-based Just Mortgage Brokers, said: "Pepper’s buy-to-let product overhaul including the reduction to the two-year completion fee is a sign of their intent to continue lending money. 

"Combined with their flexible approach to underwriting for potential clients with historical credit issues using the human approach instead of credit scoring this should see them feature in future recommendations."

aamina.zafar@ft.com