The AA launches into buy to let mortgage market

The Automobile Association (AA) has announced its official entry to the mortgage market by launching a new range of fees-assisted mortgage products, all of which come with fixed terms between two and five years. The initial rate starts from 2.08% and is available up to 90% loan to value (LTV), while four year fixes are available from 2.48% to 3.53% at 90% LTV.

As part of these new mortgage offers, borrowers can also access 12 months of home emergency and central heating repair cover, plus a 15% discount on AA home insurance.

Having joined forces with the Bank of Ireland UK last July to provide a range of financial services, the AA is proving its commitment to being the pre-eminent membership organisation in the UK.

Elsewhere, Accord buy to let has also announced plans to expand its offering next year, by reaching into the consumer buy to let and first-time landlords market, while also accepting new build properties as part of its policy.

With big plans to grow its market share in sub-sectors of the buy to let space, Accord claimed it will continue to approach buy to let lending with caution and will be spending time digesting regulatory and tax changes before proceeding.

Meanwhile, Precise Mortgages has also been working on its buy to let offering, now launching an exclusive limited company buy to let three year fixed mortgage.

The fixed rate product is available at 3.54% up to 75% LTV with a 1.5% arrangement fee. Early repayment charges come in at 3% until October 2017, then 2% for the following 2 years.

Competition is certainly heating up for limited company rates, as landlords are taking advantage of low offers before the 2017 tax changes.

Newcastle Building Society has also launched a new buy to let three year fixed rate at 1.88% up to 80% LTV. This comes with a £199 reservation fee and a £800 completion fee.

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