The rate has been reduced by five basis points on the product, now offered at Bank Base Rate + 0.44 per cent (a pay rate currently of 5.44 per cent). It is available for purchase and remortgage and it has fully flexible facilities including underpayments overpayments and payment holidays. An exclusive offer of free legal fees on remortgages, via UCB Home Loans’ solicitors, is also available exclusively through PMPA member packagers. The maximum LTV is 85 per cent and has an early repayment charge of 5 per cent on the original balance during the benefit period.
UCB Home Loans’ buy-to-let products enable investors to buy up to ten properties with a maximum aggregate loan of £3 million. Affordability on buy-to-let loans is calculated on either a rental yield of 125 per cent of the monthly mortgage payment at BBR + 1 per cent, or on 4 or 3.25 joint x the borrower’s annual income plus 6.5 x the annual rental income. Recent enhancements to UCB Home Loans’ buy-to-let criteria now allow a wider range of properties. For example, Houses in Multiple Occupancy (HMOs) will be considered for single dwellings, where there are up to four tenants on a single Assured Shorthold Tenancy agreement, which are not subject to a licence, as will local authority and housing association lets, corporate lets, and adjacent properties.
Helen Hymos, lender relationship manager for the PMPA, said: “This latest rate reduction continues to offer added value to PMPA member packagers and the brokers that submit cases through them. In addition, with UCB Home Loans’ own free valuation on its core range coming to an end on 15 December, the free legal fees on offer via PMPA members is a very attractive benefit for clients.”
Gary Webster, head of business development at UCB Home Loans, said: “We are delighted to exclusively offer PMPA and their clients such a competitive product. This further demonstrates our commitment to the intermediary market and we look forward to continuing our relationship with PMPA in 2007.”
