Aldermore revamps five-year fixed BTL range

Aldermore has announced a number of changes to its five-year fixed rate buy-to-let mortgages, including reviewing its position on affordability.

Related topics:  Finance
Rozi Jones
5th April 2017
house cash bollocks

The Bank has amended its affordability stress rate to the higher of the pay rate or the reversion rate + 0.75%, down from pay rate or 5.5%.

It has also reduced reversion rates, which are now from 3.23%.

In addition to the new affordability stress rate, Aldermore has launched new five-year fixed rate products.

New standard buy-to-Let rates include a 3.28% at 75% LTV with reversion rate of 3.23% (stress rate of 3.98%) and a5.28% for 80% LTV (product fee 2.00%) with reversion rate of 4.53% (stress rate of 5.28%).

Limited company five-year fixed rates now start from 4.08% at 75% LTV with reversion rate of 3.33% (stress rate of 4.08%) and at 5.28% up to 80% LTV with reversion rate of 4.53% (stress rate of 5.28%)

Charles McDowell, Commercial Director, Mortgages at Aldermore, said: “These changes are good news for both landlords and limited company Buy-to-Let investors.

“Whilst there have been many changes to the Buy-to-Let market over the last 12 months, the improvement in affordability on our 5 year fixed rate products will provide much needed support to the market.

“The increasing number of renters combined with the on-going supply pressures across the private rental sector is evidence of the integral role Buy-to-Let plays within the UK’s housing market. Our new products reaffirm our commitment to supporting UK landlords.”

More like this
Latest from Financial Reporter
Latest from Protection Reporter
CLOSE
Subscribe
to our newsletter

Join a community of over 20,000 landlords and property specialists and keep up-to-date with industry news and upcoming events via our newsletter.