Buy to let mortgage rates hit lowest level ever

Buy to let mortgage rates are at the lowest ever on record, according to financial firm Moneyfacts.

The company tracks buy to let interest rates and deals.

During the past 12 months, the average fixed rate has dropped from 4.22% to 3.82%, while tracker rates have slipped from 4.17% to 3.63%.

The number of mortgages over 75% loan to value has risen from 2,662 deals 12 months ago to 2,943 now.

However, lower loan to value deals have decreased from 1,021 to 845 over the same period.

Spokesman Sylvia Waycot said: 'After several years of the bank door being firmly shut except to only the richest of borrowers, doors appear to not only be open but actively enticing landlords in with offers of low rates.?

Britain?s biggest landlord lender BM Solutions has launched a new range of buy to let mortgages.

The mortgages come as fixed rates and trackers.

Rates start at 2.39% for a two year tracker at 60% loan to value with a 31,495 fee.

Other deals include:

  • A 3.79% five year fix
  • A 3.49% three year fix
  • A 2.49% two year fix

All are at 60% loan to value with a £1,495 fee.

Phil Rickards, head of BM Solutions, said: “The buy to let market has enjoyed a strong start to the year and we hope these rates reflect our confidence in another good year.?

India?s Axis Bank is ready to start lending to British buy to let investors before the end of March.

The bank has yet to release details of products and availability, but has hinted they will include two, three and five year fixes and trackers up to 75% loan to value.

Keystone has cut five year rates for buy to let mortgage borrowers.

Rates start at 5.29% for the lender?s premier range for loans of £600,000 to £1 million at 70% loan to value.

The classic range five year rates are down to 5.49% to 75% loan to value.

Other rates are available for houses in multiple occupation (HMO) and flats to 80% loan to value.

Managing director David Whittaker said: 'Our products are criteria rather than price led but being able to reduce the five year fixed rates demonstrates our all-round commitment to support landlords in a market with rates at an all-time low.?

... LandlordZONE.

Article courtesy of LandlordZONE
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