Reduced rates will apply to standard properties, HMOs, and MUFBs
Specialist lender Landbay has lowered interest rates on its two-year fixed rate buy-to-let mortgages, bucking the trend of rising rates.
The reduced rates will apply to standard properties, houses in multiple occupation (HMOs), and multi-unit freehold blocks (MUFBs). Landbay said it can lower rates due to its diverse range of funders.
The interest rate for a standard property two-year fixed rate at 75% loan-to-value (LTV) was reduced by 0.10% to 4.89%. Meanwhile, the rate for a standard property two-year fixed rate at 80% LTV was cut by 0.20% to 5.09%. The interest rates for a small HMO or a small MUFB two-year fixed rate at 75% LTV were both lowered by 0.30% to 4.89%.
Landbay earlier reduced rates on its term tracker range by as much as 0.86% across HMOs and MUFBs on both new builds as well as older properties.
Read more: Landbay slashes rates on term tracker range.
“Our wide and diverse range of funding enables us to reduce our rates for borrowers when most rates from other lenders continue to rise,” Paul Brett (pictured), managing director of intermediaries at Landbay, commented. “With the Bank of England widely expected to raise base rate again later this week, we recognise that this is a really important time for landlords and property investors to lock into a lower-cost fixed-rate deal.
“This rate reduction on our two-year fixed-rate range will enable investors to remove some of the volatility from their costs, providing an element of certainty at this crucial and uncertain time.”