With the start of the new tax year, landlords are continuing to be hit by government changes in buy to let investment. Many landlords have made moves to sell off their lower-yielding property, as the impending loss of higher-rate tax relief threatens to increase the tax paid upfront. But these changes shouldn’t put you off; there are other ways to make savings on your buy to let mortgage payments.
Enness’ close relationship with a variety of high street and private lenders means that we’re always ready to report on the most beneficial products on the market. We currently have access to a buy to let mortgage product with a number of appealing features.
It can be used for either purchasing a new property or remortgaging a property you already own, up to the value of £1million.
- 3.39% Fixed Rate
- 5-year term
- 70-75% Loan to Value (LTV)
This product is ideal for landlords who want the security of a long-term fix, enabling them to budget effectively. A key and unusual incentive is that it has no early repayment charges (ERC). ERCs are a common feature of fixed rate mortgages, so this offers great flexibility.
The product is also favourably stress tested and so achieves greater borrowing. After recent regulation guidelines were changed, this level of favourable stress testing is increasingly uncommon; this is a great product to take advantage of in that respect.
The benefits don’t stop there. Instead of a percentage based fee, this product is offered with a flat rate fee of £1999. If you’re a landlord looking to borrow a large amount, this could mean you make a significant saving on fees. A free valuation—and free legal work, if on a remortgage—is also included, saving you further money.
If you’d like a further discussion of how Enness can help you to secure the most beneficial buy to let mortgage, you can contact me directly via the website.