Fleet Mortgages withdraws some products – adds new line-up

It makes temporary market withdrawal

Fleet Mortgages withdraws some products – adds new line-up

Buy-to-let specialist lender Fleet Mortgages has announced the launch of new buy-to-let green mortgages and the reintroduction of 65% loan-to-value (LTV) products across its three core ranges, while withdrawing its two-year fixed rate products.

The new green products are available to landlord borrowers seeking to purchase or remortgage properties which have an EPC rating of ‘A’ to ‘C’, and are five-year fixes available at 75% LTV.

The lender said the products come with a 10-basis points reduction off its core five-year fixes with both standard and limited company/LLP offered at 4.85%, and house in multiple occupation (HMO)/multi-unit freehold block (MUFB) offered at 4.99%.

“We are very pleased to be making our first entry-level foray into the provision of green mortgages for landlord borrowers, who are increasingly looking for properties with EPC levels between ‘A’ and ‘C’ in order to meet any future requirements placed upon them in this area,” Steve Cox, chief commercial officer at Fleet Mortgages, commented. “This is an entry point for us when it comes to green activity.

“We’ll continue to look at the ways and means by which we can support landlords as they seek to deliver greater levels of energy efficiency within the housing stock of the private rental sector.”

Read more: “Green homes are on everyone's lips”.

Fleet has also reintroduced product options at 65% LTV, with standard and limited company/LLP products available at 4.85%, and HMO/MUFB at 4.99%.

The specialist lender also announced that it is temporarily withdrawing its two-year fixed-rate products from the market.

“As swap rates have rocketed and as the market for two-year fixes has diminished, we have made the decision to temporarily withdraw our two-year products,” Cox said. “At present, to be active in this space would mean pricing these products at levels which would simply be unattractive to advisers and their landlord clients, especially given that five-year money is far cheaper than two-year at present.

“We’ve therefore decided to stick with five- and seven-year products alongside our trackers until a time when the market shifts, and it makes sense to bring back competitively-priced two-year fixes.”

Fleet is currently offering five-year fixes at 65%, 75% and 80% LTV, seven-year fixes at 75% LTV, the new five-year green mortgages at 75% LTV, plus tracker products at 75% LTV.

“The rest of the year does present a large number of advice opportunities for intermediaries with landlord clients; and Fleet is ready, willing, and able to provide all parties with the finance they need within their desired timescale,” Cox remarked.