Al Rayan Bank, the high net worth specialist and pioneer of British retail Islamic banking, has recently revealed its lowest buy to let mortgage rates as well as reducing rates across the rest of its buy to let range by 1% or more. The lender’s latest offers now hope to benefit new landlords, as well as those refinancing, with its lowest rental rates yet. The lender’s discounted variable rate now stands at 3.49% and 3.69% for its fixed rental rate.
Elsewhere in the market, many lenders have been tapping into the buy to let sector, with other lenders such as Accord now reviewing their buy to let criteria. In response to looming tax implications for landlords including 3% stamp duty on second properties and cuts to mortgage interest relief, Accord Mortgages has said it is considering lending to first-time landlords, bringing its minimum property value from £100,000 to more in line with the current market and widening its reach to more landlords. The lender has also stated it will be revisiting its rental calculations in preparation for the impact of tax relief changes on affordability for landlords.
Meanwhile, Virgin Money has released a new range of buy to let exclusives for clients looking to fix for both the short and long term. Its new range now includes competitive 2, 3 and 5 year fixed rates, as well as 2 year tracker buy to let mortgages.
Products now include a 2 year fixed rate buy to let remortgage product at 1.99% at 50% loan to value (LTV) with a £1,995 fee and £500 cashback, and a 5 year fixed rate buy to let remortgage of 2.99% at 50% LTV with the same fees and cashback applied. Not only this, the lender is now offering a 2 year fixed rate buy to let stamp duty cashback purchase product, with a rate of 2.94% at 75% LTV with a £1,995 fee and £1,500 cashback (this has a minimum loan size of £94,000). Finally, Virgin Money’s 5 year fixed rate buy to let purchase and remortgage product is at 3.55% with a £1,995 fee and £500 cashback at 75% LTV.