Landbay launches new products and cuts rates to expand tracker range

Landbay has announced that it is expanding its tracker proposition with the launch of 11 new products across its core, premier, small HMO and product transfer ranges, while also cutting rates on a number of its existing tracker products by up to 15 basis points (bps).

Among the new products are premier like for like and premier like for like AVM two-year trackers at 75% loan-to-value (LTV), with rates starting from Bank Base Rate (BBR) plus 0.34% and BBR plus 1.34% respectively, and no early repayment charges (ERCs). Both premier like for like products also have a reduced stress rate of 4.5% or pay rate.

Landbay has also launched a premier AVM two-year tracker at 75% LTV, starting from BBR plus 0.34%, alongside a new product transfer premier two-year tracker starting from BBR plus 0.44%, also at 75% LTV, with both products available without ERCs.

The lender has also extended its tracker offering into its premier small HMO range, with a new two-year tracker at 75% LTV with rates starting from BBR plus 0.64%, alongside a product transfer version starting from BBR plus 0.74%.

The additions are accompanied by reductions of up to 15 bps across Landbay’s existing core two-year tracker products at 65% and 75% LTV, including product transfer options, as well as its specialist small HMO and small MUFB two-year trackers at 75% LTV.

Following the reductions, Landbay’s core two-year tracker with no ERCs now starts from BBR plus 0.29% at 65% LTV, and BBR plus 0.49% at 75% LTV. Its core like for like two-year tracker at 75% LTV starts from BBR plus 1.54%.

Within its product transfer range, core two-year trackers with no ERCs now start from BBR plus 1.44% at 65% LTV and BBR plus 1.64% at 75% LTV. Rates on Landbay’s specialist small HMO and small MUFB two-year trackers at 75% LTV have also been reduced, with both now starting from BBR plus 1.54%, again available without ERCs.

Rob Stanton, sales and distribution director at Landbay, said: "Recent movements in fixed-rate pricing have again shown why it is important for landlords and their advisers to have access to a broad range of options, rather than assuming a fixed rate will always be the natural choice.

"Trackers can provide a useful alternative, particularly for landlords who value flexibility and do not necessarily want to lock into today’s fixed-rate pricing for a longer period. By adding new tracker products and reducing existing product rates, we are giving advisers and their landlord borrower clients more options across our core, premier, small HMO and product transfer ranges.

"The reduced stress rate on our premier like for like products is also an important part of this expansion, because affordability can be just as important as headline rate when landlords come to refinance. For eligible borrowers who are not looking to raise additional funds, that 4.5% or pay rate stress test could make a significant difference to the refinancing options available to them.

"Of course, the right choice will depend on the individual landlord and their circumstances, but we want advisers to have a full range of products so they can consider all the different routes available. That is particularly important in a market where the interest-rate outlook remains uncertain, and pricing can change quickly."