Landbay enhances special edition buy-to-let range

Landbay has updated its five-year fixed rate buy-to-let mortgage range with the introduction of lower LTVs and rates now starting at 4.39%.

The five-year fixed rates are for standard properties and Landbay has brought in new LTVs of 55% and 65% on loans up to £1.5m. This is in addition to the existing 75% LTV products which have a new maximum loan size of £1m (previously £500K).

There is a variable fee structure from 2% to 7% on selected products.

At 55% LTV rates start from 4.39% with a 7% fee and 5.39% with a 2% fee. 65% LTV rates start at 4.49% with a 7% fee and 5.49% with a 2% fee, while 75% LTV products are available at 5.09% with a 5% fee and 5.69% with a 2% fee.

Paul Brett, managing director of intermediaries at Landbay, commented: “As we settle into 2023 we have again been able to bring mortgage rates down plus we have expanded out LTV range.

“We are talking a bold step in having products with fees up to 7% but it is in response to broker feedback for flexibility around the interest cover ratio (ICR). Brokers who understand the buy-to-let market will know which rate/fee combination is right for their clients.

“The choice of rates and fees will allow more landlord borrowers to pass the ICR calculation requirements, especially for basic rate taxpayers as we lowered the ICR last week to 125% from 140%.”