Pepper enhances buy-to-let range with rate cuts and expanded HMO criteria

Pepper Money has announced a series of enhancements to its buy-to-let mortgage offering, including rate reductions and expanded criteria for houses in multiple occupation (HMOs).

Pepper will now support HMOs on properties with an EPC rating of D or E, broadening eligibility beyond the existing A–C requirement.

Alongside the criteria update, Pepper Money has reduced rates by up to 25 basis points on two-year fixed products and up to 15 basis points on five-year fixed products, available for both individual landlords and limited company borrowers.

The lender has introduced new lowest rates of 4.44% up to 70% LTV, with a 7% completion fee. 

These enhancements build on Pepper’s re-entry into the buy-to-let market in 2025. Affordability continues to be assessed using ICRs rather than personal income or bank statements, with rental income assessed by an independent RICS surveyor.

Paul Adams, sales director at Pepper Money, said: “These latest enhancements demonstrate our ongoing commitment to supporting landlords in a challenging market. By reducing rates across key Buy to Let products and broadening our HMO criteria, we’re responding directly to broker feedback and the needs of landlords who are navigating higher costs and evolving regulation.

“We remain focused on delivering specialist lending products that prioritise real-world affordability and speed, while continuing to build out our buy-to-let proposition. This is another step in strengthening our offering for brokers and their landlord customers, with further enhancements planned.”