Editor's note: This brief was summarised by The Property AI Newsroom from a report by Mortgage Solutions. Read the original article for full details.
Moda and CHL launch limited-edition buy-to-let ranges
Two specialist lenders, ModaMortgages and CHL Mortgages, have each launched limited-edition ranges of two- and five-year fixed rate buy-to-let products, with rates starting from 4.19% and 3.6% respectively.
ModaMortgages cuts fees on new range
ModaMortgages has launched a limited-edition range of two- and five-year fixed rate products with no application or valuation fees. Rates start from 4.19% on products for single residential investment properties.
For houses in multiple occupation (HMOs) and multi-unit freehold blocks (MUFBs) with up to six bedrooms or units, the limited-edition rates start at 4.29%.
The range is available to both individual and limited company landlords up to 80% loan to value (LTV). It includes a choice of fee options: percentage fees of 2%, 5% and 7%, as well as fixed-fee products priced at £7,499 and £9,999.
Becki Fraser-Tucker, head of sales at ModaMortgages, said products offering no application or valuation fees are particularly attractive at a time when landlords are carefully assessing every cost associated with their investments. She said the range gives brokers more ways to maximise value for their clients, whether they are purchasing a single dwelling, HMO or MUFB property.
CHL Mortgages broadens BTL offering
CHL Mortgages has expanded its buy-to-let offering with a limited-edition range of two- and five-year fixed rate products and a series of criteria enhancements.
The new products are available for single dwellings, HMOs and MUFBs with up to six bedrooms or units, with rates starting from 3.6%. The range is open to individual and limited company landlords up to 80% LTV and comes with a choice of fee options.
The lender has also widened eligibility by accepting applications from first-time buyers and removing the minimum income requirement for non-first-time buyers. In addition, minimum property valuation thresholds have been reduced and the maximum number of storeys permitted in blocks of flats has increased to 20.
Roger Morris, group distribution director at CHL Mortgages, said the changes were aimed at helping landlords achieve their property goals, while the new limited-edition range provides "the flexibility and choice that today's investors demand".
What this means for letting agents and inventory clerks
Both launches cover single dwellings, HMOs and MUFBs of up to six bedrooms or units, the property types at the heart of the letting and inventory sector. For agents working with HMO landlords, improved finance availability up to 80% LTV may support investment and refinancing activity in the HMO and multi-unit market, while CHL's decision to increase the maximum permitted storeys in blocks of flats to 20 widens the range of eligible properties.
Source: Mortgage Solutions