Aldermore has cut buy-to-let rates across its core, HMO and multi-unit freehold ranges, while also launching new limited edition mortgage products and reducing rates across its residential owner-occupier and product switch ranges.
The changes follow Aldermore's announcement earlier this week of a new five-tier cascade lending approach, designed to help brokers find solutions for more customers whose circumstances may not fit traditional high street criteria.
For landlords with single residential investment properties and multi-property portfolios, 2-year fixed core buy-to-let rates have been reduced by 0.20%, while 5-year fixed core rates are down 0.15%. Aldermore has also introduced a new 2 year fixed rate with a £1,999 fee, priced at 6.09% at 75% LTV, alongside two limited editions: 4.59% at 75% LTV with a 3% fee, and 3.59% at 75% LTV with a 5% fee.
The cuts are sharper for HMOs and multi-unit freeholds, where 2-year fixed core rates have fallen by 0.45% and 5-year fixed core rates by 0.30%. New products in this category include a 2 year fixed rate with a £1,999 fee at 6.24% at 75% LTV, a 3% fee limited edition at 4.74%, and a 5% fee limited edition at 3.74%.
Selected BTL rates have also been reduced through the product switch range:
- Selected BTL 2 year fixed rates reduced by up to 0.45%
- Selected BTL 5 year fixed rates reduced by up to 0.30%
- Residential 2 year fixed rates reduced by up to 0.50%
- Residential 5 year fixed rates reduced by up to 0.22%
On the residential side, Level 1 rates have been reduced by approximately 0.24% on average, and mortgages are now available up to 98% LTV for Level 1 borrowers for the first time. New limited edition products have launched at 90%, 95% and 98% LTV, with the 5-year fixed 98% LTV limited edition priced to match its 95% LTV equivalent. Level 2 and Level 3 limited editions are also now available at 90% and 95% LTV, priced to match the equivalent Level 1 products.
"We're pleased to announce rate reductions across our product range, building on the launch of our new five-tier cascade lending approach," said Jon Cooper, director of mortgages at Aldermore (pictured).
"Together, these latest initiatives provide greater choice across our residential and BTL ranges, helping brokers support more homeowners and landlords with the right lending solutions.
"By listening closely to our broker partners, we continue to develop tailored, flexible products that reflect the varied and increasingly complex needs of today's homeowners and landlords."
