Competitive Rate Cuts on Buy-to-Let Mortgages: What You Need to Know

In a bid to attract more investors, several lenders have recently slashed their buy-to-let mortgage rates. Here’s a roundup of the latest offers:

Zephyr Homeloans

Zephyr Homeloans is now offering 80% loan-to-value (LTV) mortgage products on five-year fixed rates for houses in multiple occupation (HMOs) and multi-unit freehold blocks (MUFBs).

• For properties with A to C-rated EPCs
  :

5.99% on a five-year fixed rate with a 3% fee.
6.59% on a five-year fixed rate with a 0% fee.

• For properties with D or E-rated EPCs:

6.09% on a five-year fixed rate with a 3% fee.
6.69% on a five-year fixed rate with a 0% fee.

Landlords can also add the mortgage arrangement fees to the loan balance up to a maximum LTV of 83%.

CHL Mortgages

CHL Mortgages has launched a limited-edition range of two- and five-year fixed-rate buy-to-let products:

• Two-year fixed rates starting from 3.95%.
• Five-year fixed rates starting from 4.99%.

These rates are available for individual, limited company, and HMO/MUFB landlords, with a maximum LTV of 75% and a choice of a 2% or 5% fee.

Molo Finance

Molo Finance has further reduced rates on its buy-to-let fixed-rate products for UK residents:

• Two-year fixed rates start from 4.55% (a 0.17% reduction).
• Five-year fixed rates start from 5.06% (a 0.15% reduction).

Rates for HMOs, MUFBs, new builds, and investor-led properties now start from 4.65% for a two-year fixed product and 5.16% for a five-year fixed.

Fleet Mortgages

Fleet Mortgages has also introduced a series of rate cuts and new five-year fixed products at 75% LTV for both standard and limited company landlords:

• Standard five-year fix: Reduced from 5.34% to 5.14%.
• Limited company five-year fix: Reduced from 5.49% to 5.14%.

Both products come with a 3% fee (minimum £750) and have a rental calculation of 125% at 5.69% for basic taxpayers and 145% at 5.69% for higher-rate taxpayers. The maximum loan available is £500,000, with an end date of October 31, 2029. Free valuations are available for properties valued up to £500,000, with discounts for higher values.

Why This Matters

The recent rate cuts make it an opportune time for investors to secure favourable financing for buy-to-let properties. Lower interest rates can improve affordability and increase potential returns on investment. If you’re considering expanding your property portfolio, now is the time to take advantage of these competitive mortgage products.

For more information on how to capitalize on these new rates, contact us today. Our team at Magnate Assets is ready to assist you in navigating the current market and securing the best investment opportunities.