Fleet Mortgages to lend to LLPs
Buy-to-let (BTL) specialist lender Fleet Mortgages will lend to limited liability partnerships (LLPs) from today.
The lender is offering a specific product range to LLPs, in conjunction with its existing proposition for limited company borrowers.
Fleet’s range of products for LLPs includes 2-year fixes at 65% loan-to-value (LTV) – 3.04%, 70% LTV – 3.24%, and 75% – 3.34%.
All are available with a rental calculation of 125% at 5.5% and a fee of 1.5%.
It also includes 5-year payrate fixes at 65% LTV – 3.44% and 75% LTV – 3.49%, both with a fee of 1.75%.
In addition, the range includes lifetime trackers with no early repayment charges (ERCs), offered at 60% LTV – 3.3% and 75% LTV – 3.55%, both available with a rental calculation of 125% at 5.5% and a fee of 2%.
All products come with either free or discounted valuations.
Fleet has also improved its criteria for both LLP and limited company borrowers, including a personal guarantee requirement for each member of the LLP.
It will however no longer require all limited company shareholders to be party to the application and provide personal guarantees.
Instead, Fleet will require all directors and any shareholders with a 25% or greater holding to be party to the mortgage, and where the cumulative total of these applicants’ shareholding is below 75%, further shareholders will need to be added until a 75% shareholding is reached.
Steve Cox (pictured), chief commercial officer at Fleet Mortgages, said: “As a specialist in the buy-to-let market, what we try to do is provide as many different avenues for borrowers utilising a variety of different corporate vehicles for their property ownership.
“That’s certainly been the case with our limited company range and we’re very pleased to be able to expand the reach of our lending with specific options for LLP borrowers including 2-year fixes, 5-year payrate options and lifetime trackers.
“There is further good news for advisers and their landlord clients in terms of our current service levels, where we are able to assess documents within 24 hours, provide same-day DIP reviews and turn valuations around within a day.
“In an incredibly busy market to have this kind of certainty and speed is proving incredibly popular, and we would urge advisers who are active in the buy-to-let sector to work with Fleet to see how we can help support your business growth.”