A second Buy to Let with only a 15% deposit requirement has been launched into the Market. Exclusively through just three distributors in the UK (inc AToM!), BlueZest is a new lender to market and has some superb products. These products are part of a broader range that allow landlords and developers to do refurbishments, conversions and new builds with funds advanced upfront, secured on non-development property that they already own. These mortgage products are available for periods up to 18 months with competitive rates, without the need for bridging finance. This is a fantastic offering and we look forward to working with them.
Despite the continued talk of rates rising, there is a lot of activity in the market place and some rates have even decreased (Nationwide with some residential rates by up to 0.5%). Foundation Home Loans has launched a new Buy to Let range with just a fixed fee of £1,999 (most lenders charge up to 2% of the loan amount), for loans up to £1m. And Accord Mortgages has added a £500 cashback to all of their Buy to Let fixed rate house purchase products. Obviously, terms and conditions apply.
The Buy to Let sector generally is becoming very competitive and despite an increasing number of options and recent regulation changes to the market, demand is still increasing. Whilst first time buyers struggle to get on the property ladder and savings interest rates remain low, many continue to invest long term in to property and there's no immediate reason why this should change.
The really positive news is the number of new lenders who have launched this year. A sign of the times and that funding is a lot easier to achieve compared to recent years. This has also bought in rate price wars and this can only be a good thing for the end consumer and keeps competition rife.
However, with all of the recent tax changes on Buy to Lets, you should not only seek professional mortgage advice, but tax advice from an accountant who understands property and all the new rules surrounding landlords and, where applicable, portfolio landlords.