According to the lender, the rate of just 3.29% makes the product the cheapest ever HMO 2-year deal to be funded by Precise.
The deal, which is available to all intermediaries and through 3mc’s network partners The Right Mortgage and Protection Network, Sesame, Stonebridge Network, Home Loan
Partnership and to directly authorised members of the PMS Mortgage Club, has the following features:
Rate: 3.29% 2-year tracker (Libor + 2.91%) reverting to 5.0%
Availability: HMOs, including both individual and limited company BTLs
Loan size: from £25,001 up to £500,000
Max LTV: 75%
Arrangement fee: £1,995
ERC: 3% in year 1 & 2% in year 2
Rental calculation: 125% of the higher of the pay rate or revert rate
Doug Hall, Director of 3mc, said: “We have seen an increase in interest in both individual HMOs and limited company BTLs as investors seek higher yields. I therefore have no doubt that this new product, which has a 125% rental cover calculation and which sits alongside a 2-year fixed rate launched in the summer, will prove to be popular with brokers and their clients.”
Alan Cleary, Managing Director of Precise Mortgages, said: “We’re delighted to be launching this new HMO deal exclusively through 3mc. Both individual investors and those buying through a limited company, can benefit from this excellent 2-year tracker offer.”
