Back to June 2017

Market-leading tracker tops Buy to Let improvements at Leeds

Leeds Building Society has improved its choice of Buy to Let (BTL) mortgages, including a market-leading five year tracker with no Early Redemption Charges (ERCs).

The 1.65% five year tracker is available up to 60% LTV (loan to value) and comes with a free valuation, as well as fees assisted legal services for standard remortgages.

The Society also has reduced rates across its range of BTL mortgages at 60% LTV by 0.10% – highlights include a remortgage-only five year fixed rate deal at 2.39%, with free valuation, fees assisted legal services and a £999 fee.

“We’re seeing more customers moving towards longer-term products, with five year deals the most popular,” said Jaedon Green, Leeds Building Society’s Director of Product and Distribution.

“Our five year tracker comes with no ERCs, so the borrower has no penalty charges if they decide to redeem their mortgage within the term, for example if they sell their property.

“This flexibility is useful to landlords, who may be reviewing their portfolios as the new BTL tax legislation eases in.

“The strong set of products in our BTL range is part of continuous efforts to improve our proposition in this sector, such as simplifying our criteria and strengthening our dedicated underwriting team.”

Leeds Building Society was one of the first lenders to introduce new BTL criteria on 1st January following changes to underwriting standards by the Prudential Regulation Authority (PRA).

These include an income covering ratio (ICR) of 140%, reducing the stress test rate for remortgages with no additional borrowing to 5.00%, and removing the minimum income requirement.

Ends

Notes to Editors

Key Features

Five year variable rate tracker Buy to Let mortgage at 1.65% up to and including 31st July 2022:

  • 65% available up to 60% LTV
  • Available for purchase or remortgage
  • Free standard valuation on properties worth up to £500,000
  • Fees assisted legal services for standard remortgages
  • No Early Redemption Charges
  • £1,999 Completion Fee

 

Five year fixed rate remortgage-only Buy to Let mortgage at 2.39% up to and including 31st July 2022:

  • 39% available up to 60% LTV
  • Available for remortgage only
  • Free standard valuation on properties worth up to £500,000
  • Fees assisted legal services for standard remortgages
  • Tapered ERCs (5/5/4/3/2%)
  • £999 Completion Fee

Leeds Building Society was named Best Building Society Savings Provider at the 2017 Moneyfacts Awards.

Leeds Building Society operates throughout the UK, Gibraltar and Ireland and has assets of £15.9bn (at 31st December 2016). The Society’s head office has been based in the centre of Leeds since 1886.