West One introduces first green second charge mortgage

It is available on properties with an EPC rating of A–C

West One introduces first green second charge mortgage

West One Loans has become the first lender to introduce a green second charge mortgage for landlords available on properties with an EPC rating between A and C.

The innovative new green product is set at West One’s lowest ever rate for buy-to-let second mortgages, starting from 5.29%.

Marie Grundy, managing director of second charge mortgages at West One Loans, stated that, as part of West One’s ESG strategy, the specialist lender had been working on designing a green second charge mortgage for landlords.

Read more: West One launches sustainability initiative across product range.

“Although green mortgages are widely available in the BTL market, until now there haven’t been equivalent products available for landlords looking to raise second charge finance on more energy efficient properties. So we are proud to be the first second charge lender in the market to do this,” she said.

“Landlords are expected to ensure their properties have an EPC rating of at least C for new tenancies by 2025 and existing tenancies by 2028. We know there will be demand for our second charge green mortgage as landlords can use it to upgrade and retrofit properties that are rated D or below, which applies to many rental homes,” Grundy added.

Read more: Landlords well informed of EPC changes.

In addition, West One has created a brand-new, second charge buy-to-let plan called BTL Plus with rates starting at 5.39%. BTL Plus offers enhanced loan sizes and a competitive range of products for landlords.

The improved loan sizes go up to £350,000 from £250,000, up to 65% LTV, with loans up to £500,000 considered by referral. Loans up to 75% LTV are now available to a maximum £125,000 from £100,000.

Both variable and five-year fixed rate plans have options without early repayment charges and some light adverse credit is acceptable.

The specialist lender is also reducing five-year fixed rates on its Apex 1 plan available to homeowners by up to 1.06%.

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