Lenders make further revisions to buy to let and residential offerings

A raft of lenders has updated their buy to let and residential mortgage offerings introducing new product criteria, rate cuts and revised maximum age limits.

First up, Aldermore has launched a new limited edition rate on its standard and specialised buy to let product range.

Available for loans from £250k up to £1m, the rate is being offered to both individuals and limited companies applying for standard residential units.

The new product is available for both purchase and remortgage at an initial rate of 3.93%(4.2%APR) for two, three and five-year fixed mortgages up to 80% loan-to-value (LTV).

A completion fee of 1.50% and an arrangement fee of £199 applies.

Extending its buy to let proposition, Kent Reliance will now lend to landlords who have set up limited liability partnerships.

The changes, which take place today, include borrowers who are looking to swap a buy to let mortgage from their name into an LLP.

The lender has stipulated that to consider an application it will require personal guarantees for 100% of the loan from all LLP members, as well as evidence that the company is non-trading.

Intermediary-only lender, Accord Mortgages has cut rates by up to 12 basis points on its 65% LTV residential mortgages.

Borrowers with a 35% deposit looking to remortgage on a two-year fixed rate basis will now be able to access a rate of 1.87%.

There is no fee attached to the product and Accord is also offering the choice between £250 cashback on completions and free standard valuation, or free standard valuation and legal fees.

A two-year fixed rate mortgage at 1.94%(5.1%APRC) at 65% LTV is also available for house purchase through Accord. Again, the product has no fee attached and the mortgage comes with £250 cashback on completion and free standard valuation.

Other residential up-dates include a decision by Halifax to raise its maximum accepted age limit. From May 9 the lender is increasing its age cap from 75 to 80 years old.

The new age limit will apply to all mortgages, new applications, further advances and product transfers.

The term must end before the borrower’s 80th birthday and where it is a joint application, the rule will apply to the oldest applicant.

The lender’s affordability calculations will be changed to reflect the new maximum age and any borrowing beyond retirement age will need evidence of retirement income.

This revision to its maximum age limit is Halifax’s second tweak to its lending into retirement policy in two weeks, the first being a review of how it treats income for older borrowers.

Lastly, Royal Bank of Scotland (RBS) has taken the decision to stop lending to expats.

In a move that will come into effect on 19 May, all residents applying for both RBS and Natwest loans must be resident in the UK to be considered eligible.

The decision will also include applications from existing expat customers wanting to borrow more.

Applications from serving members of HM Armed Forces, UK diplomats or UK consular staff, will still be considered, following standard residential mortgage criteria.

Brokers have until 18 May to submit their applications.


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