CHL Mortgages has cut five-year fixed-rate landlord loans by up to 34 basis points and added a two-year fixed-rate range.
The specialist buy-to-let lender says its individual and limited company five-year fixes now start at 5.61%, while its new two-year fixed-rate range begins at 5.75%.
The business has reduced fixes across all product ranges, which sees houses in multiple occupation and multi-unit freehold blocks deals now start at 5.66% for a five-year fix, with a two-year fix starting at 5.80%.
Short-term lets five-year fixes start from 6.15%, with a two-year fix priced from 5.80%.
The lender adds that five-year and two-year fixes across its core range are available up to 75% loan to value, with multiple fee options across the range.
It adds that its refurbishment range of products is available up to 75% LTV, with rates starting at 5.66%.
The firm says: “This range is designed to help landlords improve their properties by offering the ability to release the refurbishment costs upon completion of works without the need to switch to an alternative product.”
The interest cover ratio for all five-year fixes is calculated at pay rate.
For applications which include a combination of additional-rate or higher-rate or basic-rate payers, the lender will consider a ‘blended interest cover ratio’ to determine loan affordability based on each borrower’s tax status and their personal share of ownership/rent to maximise interest cover ratio affordability for landlords.
CHL Mortgages commercial director Ross Turrell says: “With the economy and the financial markets showing signs of stability, we’re pleased to be able to lower interest rates and when combined with flexible fee options, affordability for the landlord continues to improve.”
