Both Virgin Money and Metro Bank have both launched competitive new mortgages for landlords.
Metro Bank is targeting professional property investors with a maximum of 25 properties in their portfolio and who rely on income solely from property.
The products are a two-year tracker at 4.89% and a five-year fixed rate at 5.25%. Both products carry a rent to interest calculation of 125% at 5.5%. Customers can refinance a maximum of 10 properties at one time with aggregated exposure of £2.5m to 65% loan-to-value (LTV).
Investors might be attracted to the capital overpayment facility of up to 10% each year as well as the interest-only option of up to 10 years. The products are also available to trading businesses and SPV Limited Companies.
Richard Saulet, director of mortgages and commercial delivery at Metro Bank, said: "We are always looking for new ways to support our customers and bring them the best in service and convenience. We believe there is plenty of room for more lenders to offer mortgages suited to professional residential investors, and are pleased to be able to support this group through today's extension."
Virgin Money has launched a new two-year intermediary exclusive buy-to-let mortgage at just 2.99%. It’s available up to 60% LTV and comes with a £2,495 product fee.
It has also reduced the rate on its two-year buy-to-let fixed rate at 60% LTV to 3.38%, with a £1,995 fee.
Borrowers get £750 cashback across Virgin's buy-to-let range, but this doesn't apply to intermediary exclusives.
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