Loughborough refreshes buy-to-let range
Loughborough Building Society has launched a 2-year discount, a 3-year fix and a 5-year fixed rate buy-to-let to 80% loan-to-value.
There’s a 2-year discount of 3.14% with a product fee of £699 and a 2-year discount at 2.59% with a fee of £1499. Meanwhile both 5-year fixed rates have a product fee of £999, with the rate of one being 3.09% and the other being 3.39%.
The society said the move widen its reach to landlords for both purchase and remortgage throughout England and Wales.
Products are available to individuals over the age of 25 and the mortgage must end by the age of 70. The minimum income requirement is £25,000.
Capital raising is accepted for property improvements and funding the deposit of a further property. They will also accept capital raising for the repayment of a government Help to Buy equity loan where the borrower wishes to apply for a Let to Buy mortgage.
The interest coverage ratio is stressed on the product rate and must meet 130% of the monthly mortgage payment based on interest only.
This is based on the net rent receivable after deductions of the landlords’ costs and tax liabilities associated with the property.
Where the rental income is insufficient there is an option to include the applicant’s personal income.