Fleet expands proposition with one-year fixed-rate products

Buy-to-let specialist lender Fleet Mortgages has announced that it has launched a new range of one-year fixed-rate products on Monday, adding a short-term option for landlords and their advisers across its Standard, Limited Company and HMO/MUFB ranges.

The products are open to both new and existing Fleet borrowers. The lender said it introduced them for landlords who may not want to commit to a longer fixed rate in the current market.

Steve Cox, chief commercial officer at Fleet Mortgages (pictured), said: “The introduction of these new one-year fixed-rate products adds another option for advisers and their landlord borrower clients at a time when there is still considerable focus on the direction of rates and the increased cost of longer-term fixes.

“We know different landlords have very different requirements, and there will be borrowers who value the payment certainty of a fixed rate but do not necessarily want to make that commitment for two to five years,” he added. “These new products provide that shorter-term alternative across Standard, Limited Company and HMO/MUFB, and importantly they are available to both new and existing customers.”

At up to 75% LTV, the one-year Standard and Limited Company fixed-rate product is priced at 3.49% with a 2.5% product fee, and includes a free valuation on properties valued up to £500k. The one-year HMO/MUFB product, also available up to 75% LTV, carries a rate of 3.74% with a 2.5% fee and comes with £1,000 cashback.

All one-year fixed-rate products carry a 3% early repayment charge during the fixed period, and current product end dates run to the end of March 2028. The range joins Fleet’s existing fixed and tracker options, giving borrowers a way to fix their payments without committing for two or five years.

Fleet also cut the rate on its existing two-year fixed-rate HMO/MUFB product, which carries a 3% fee, along with its equivalent EPC A-C and product transfer options. The 75% LTV product now stands at 4.89%, down from 5.19%, and still comes with £1,000 cashback.

Cox explained: “We have also made a significant 30 basis point reduction to our two-year HMO/MUFB product with a 3% fee, bringing the rate down to 4.89%, while retaining the £1,000 cashback.

“Professional and portfolio landlords continue to make up a significant part of the buy-to-let market, and advisers need access to a broad range of products to meet what can be very different financing needs,” he noted. “The introduction of these new products increases that choice and gives advisers further options when discussing the next step with their landlord clients.”