New products and revised criteria benefit buy to let and resi markets

A range of buy to let and residential lenders have made revisions to their mortgage offerings, widening the choice of products available to borrowers.

First up, buy to let and specialist lender, Fleet Mortgages has made more changes to its lending criteria, focusing specifically on the transfer of property to limited companies.

As from 27 May, the lender will consider applications from individuals who are transferring their properties to a Special Purpose Vehicle (SPV) limited company.

The application will be viewed as if the limited company is purchasing the property, as long as it meets standard lending criteria:

• the existing owners of the property are directors and shareholders of the limited company

• solicitors ensure that the lender’s interests are protected appropriately in respect of, but not limited to, any insolvency provisions

• solicitors ensure that stamp duty land tax is paid on the value of the property, as reported by the lender’s valuer


Fleet Mortgages is making its entire range of limited company products available for this new type of transfer/purchase.

Products include a 75% LTV lifetime tracker at 4.19%(4.4% APRC) with a 1.5% fee, a two-year fixed rate of 80% LTV at 4.89%(5.6% APRC) with a 1.5% fee; and a 65% two-year fixed rate at 4.09%(5.4% APRC) with a £750 fee.

Aiming to meet growing customer demand, buy to let lender BM Solutions has widened its remortgage range.

The lender has added four new products and is extending end dates by three months on all its buy to let and let to buy products.

Fixed-rate remortgage products start at 2.49%(4.7% APRC) for a two-year deal up to 60% loan-to-value (LTV) with a £995 arrangement fee.

Other products in the range include: a two-year fixed deal up to 75% LTV at 2.89%(4.8% APRC), a five-year mortgage up to 60% LTV at 3.19%(4.5% APRC) and an additional five-year deal available up to 75% LTV at a rate of 3.59%(4.6% APRC). All products carry a £995 fee.

Residential borrowers with small deposits will be interested to learn that TSB has cut its rates by up to 40 basis points on its higher LTV mortgages.

Its 90% LTV, two-year fixed home mover mortgage has been cut by 40 basis points to 2.79%(3.98% APRC) and comes with a £995 fee. A fee-free version is also available, with the same discount and comes in at 3.19%(3.95% APRC).

The lender’s 95% LTV home mover two-year fix has been cut by 20 basis points to 3.59%(4.12% APRC) and carries a fee of £995. The fee-free version applies the same discount and comes in at 3.89%(4.07% APRC).

TSB has also cut several of its 90% and 95% home mover five-year fixes by up to 25 basis points and two 10-year fixes by up to 20 basis points.

Finally, Virgin Money has launched a range of mortgages which support the Scottish Help to Buy scheme.

The range includes two 80% LTV mortgages: one two-year fixed deal at 2.04% (4.4% APRC) and another fiver-year fix at 2.79%(4.08% APRC). Both products carry a £995 fee and come with £500 cashback.

A ‘stamp duty buster’ range offering £2,500 cashback has also been launched by Virgin, including a two-year fix and a five-year fix, both of which are available to 80% LTV and have a £995 fee.


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