UK lender Mortgages plc has entered the mainstream buy to let (BTL) market in a bid to tap what it sees as a growing sector of the mortgage market.
The group’s new BTL mortgages offer up to 90% loan to value, along with a choice of fixed, discounted and tracker rates over periods from 12 months to 3 years (fixed rates from 5.35%).
The group will also offer two and three year fixed rate deals with no early repayment charges and up to GBP500,000 per property and portfolios of GBP1.5 million.
Mortgages plc has operated in the non-conforming BTL market for many years but this is our first venture into mainstream BTL lending and as such is a milestone in our evolution as a specialist lender, said Pete Thomson, sales director at Mortgages plc.
The BTL market has continued to hold up well and BTL now accounts for 14% of all mortgages handled by mortgage intermediaries, compared to just 6% in 2001. We have designed our new range to hold broad appeal to both individual BTL investors and landlords with portfolios. Initial feedback from intermediaries has been excellent and we anticipate this range proving to be very popular.