The Mortgage Works, the specialist Buy to Let arm of Nationwide Building Society, is to launch a range of 50% LTV two-year fixed rate buy to let mortgages and is reducing rates on existing products by 0.10%.
Rates for the new 50% LTV two-year fixed products start at 1.49% with a £1995 fee, and 1.59% with a 1% fee. In addition, a choice of products with free standard valuation and free legals, or free valuation and £250 cashback start at rates of 1.54% and 1.64% respectively.
Existing 50% LTV products with no arrangement fee are being reduced by 0.10%, with those with free standard valuation and free legals starting at 2.14%, and those with free valuations and £250 cashback at 2.24%.
Paul Wootton, Managing Director of The Mortgage Works, said:
“TMW is offering landlords a range of new 50% LTV buy to let deals with competitive rates in the market, with the aim of helping landlords to manage ongoing costs and offer a wider choice of options.”
Meanwhile the Yorkshire Building Society has launched a new range of mortgages for first-time buyers who have been saving through a Help to Buy Isa.
This range includes two- and five-year fixes available up to 95% LTV. Rates include two-year fixes at 1.72% (up to 90% LTV), and 3.09% (up to 95% LTV).
Longer term options include five-year fixes at 2.39% (up to 90% LTV), and 3.75 per cent (95% LTV). All these mortgages come with a £495 fee and a free standard valuation.
The Yorkshire’s full mortgage range is available to those with a Help to Buy Isa, but these special first-time buyer deals are available only to those who have saved via a Help to Buy Isa.
These savings plans differ from Help to Buy equity loans, which include a five-year interest-free government loan.
Help to Buy Isas, which were introduced in December 2015, are savings products and are available only to those who do not already own a home.
Savers can deposit a lump sum of £1,200 in the first month of opening the account, then add up to £200 a month, to a maximum balance of £12,000. Savers receive a government bonus of 25% on these savings. This money can go towards the purchase of any property – it is not restricted to new build homes, as the Help to Buy equity loan is.
Recent research by Yorkshire Building Society found that 43% of aspiring first-time homeowners were saving with a Help to Buy Isa, while 41% of those who had bought their first home in the last 12 months used this scheme.
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