Foundation Home Loans enhances complex buy-to-let range

Foundation Home Loans has announced a series of product enhancements across its complex buy-to-let range, introducing new fixed rate options, cutting rates, and simplifying fee structures across key property segments including HMOs, short-term lets, and mixed-use properties.

The changes are designed to support landlord clients with more complex needs such as financing properties above commercial premises, letting on a short-term basis, or purchasing a mixed-use building.

On Property Plus, for commercially adjacent standard buy-to-let properties requiring more flexible criteria around property type, rates have been cut by 0.15% on two and five-year fixed rate options, now starting from 6.59% at 75% LTV. A new five-year fixed-rate product has also been added, priced from 6.49% with a 2.5% fee.

HMO Plus, for more complex HMOs with up to six occupants or beds, rates have also reduced by 15bps, with rates starting from 6.69% at 75% LTV.

Short Term Lets Plus, for commercially adjacent properties being let on a short-term basis without a standard AST but with affordability assessed using AST criteria – has seen a 15bps rate cut applied to two and five-year fixed rate options, now starting from 6.74% at 75% LTV.

On Mixed Use, for properties with a mix of residential and commercial elements such as flats above shops or buildings with attached offices or storage, two new fixed rate products have been added at 60% LTV with rates starting from 6.84%. The existing 70% LTV two-year fixed rate has also been cut by 10bps to 7.29%. The product fee has reduced by 0.5% and is now set at 2.5% across all variants including expat applications.

In addition to the complex product updates, Foundation has made rate reductions to a number of its buy-to-let specials by up to 0.25%.

A five-year fixed rate special portfolio landlord product with a 6% fee is down by 10bps to 4.69%.

A two-year fix for limited company HMOs is down to 4.54% and a limited company MUFB product has reduced to 5.39%, both with a 3% fee.

In addition, a five-year fixed rate special for limited company short-term lets with a 4% fee has been cut by 25bps to 5.49%.

Tom Jacob, director of product and marketing at Foundation Home Loans, commented: “We continue to enhance our complex buy to let offering in line with what brokers are seeing in the market. The need for flexible, fairly-priced options is only growing among professional landlords, whether they are managing more complex HMOs, letting on a short-term basis or financing a mixed-use property. These latest changes underline our commitment to delivering a buy to let proposition that works for the modern landlord and supports brokers with practical, criteria-led solutions.”