Accord targets remortgagers with rate cuts

Accord targets remortgagers with rate cuts

Accord Buy-to-let is targeting remortgage customers with rate reductions across its fixes.

Part of the Yorkshire Building Society, the intermediary-only lender now offers landlords looking to remortgage their portfolio a two-year fixed rate of 2.08 per cent at 75 per cent loan-to-value (LTV) - a reduction of 0.16 per cent.

Also available to landlords looking to both extend or remortgage their portfolio, is a two-year fixed rate mortgage offered at 1.67 per cent at a 60 per cent LTV rate, with a £1,495 product fee, free standard valuation and cashback up to £750.

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Accord has also introduced two five-year fixed rate mortgages for landlords re-financing, with a 65 per cent LTV at 2.09 per cent and a 75 per cent LTV at 2.49 per cent - both with a £1,995 fee and free standard valuation.

Chris Maggs, commercial manager at Accord Buy To Let, said the changes were designed to offer additional choice to brokers and their clients.

He said: "Amid economic speculation of a rise in bank rate in the near future we have introduced new mortgages designed to offer landlords longer-term peace of mind until 2023, and have reduced rates across our range to offer competitive options for a range of borrowers."

Dean Mason, director and founder at Masons Financial Planning Limited, said such changes offered "hope" in a difficult market.

He said: "The new products offered by Accord offer a glimmer of light for landlords who have found the mortgage market quite tough on them in the last couple of years, particularly with the Prudential Regulation Authority changes.

"The ability to fix for a reasonable fee at a highly competitive rate, especially with the five-year term, gives them some much needed stability with potentially uncertain times ahead."

In September last year the PRA brought in tough new portfolio landlord rules.

The rules mean lenders have to implement a special underwriting process for landlords with four or more mortgaged buy-to-let properties (or three mortgaged buy-to-let properties with a fourth buy-to-let mortgage in the application stage).

This has meant some buy-to-let investors are finding it tougher to get funding from traditional lenders.