Back to October 2018

New Easy Start mortgage with 0% interest rate for 1st 3 months

The latest Buy to Let mortgage from Leeds Building Society offers an Easy Start for landlords when they buy a new property.

The unique product is an updated version of the Society’s award-winning Welcome Mortgage, with an interest rate of 0% for the first three months.

Welcome was introduced to offer borrowers breathing space at a time when their finances were likely to be stretched with moving and other costs. The Society’s new Buy to Let version gives landlords the same benefit when they’re getting their property ready to rent to make sure it’s the best it can be for their tenants.

Easy Start products launched on Tuesday 23 October are:

  • 2.72% available up to 60% LTV (loan to value) with a £999 fee
  • 2.82% available up to 60% LTV with no fee
  • 3.09% available up to 70% LTV with a £999 fee
  • 3.24% available up to 70% LTV with no fee

All are five year fixed rate deals which come with a free standard valuation.

Jaedon Green, Leeds Building Society’s Director of Product and Distribution, said Easy Start could take away some of the pressure on landlords during an initial void period.

“Our Welcome Mortgage won awards and industry praise so we looked at how we could tailor its benefits for Buy to Let borrowers,” he said.

“When they first buy a property they might need to decorate or carry out refurbishments before tenants can move in, so clearly there’d be no rent coming in over that time. Cash freed up at the start of the mortgage could go towards a higher-quality fit-out to help to secure a better rental return.

“If the landlord chooses to borrow on an interest only basis, Easy Start means there would be no repayments in the first three months.

“This innovation is the latest example of how we’ve used our insight and expertise in the Buy to Let market to understand and respond to customer need.”

Ends

Notes to Editors

To discuss a new case with one of our mortgage development team, mortgage introducers should go to www.leedsintroducer.co.uk to find details of their nearest Business Developer contact.

Leeds Building Society won the title of Best Shared Ownership Mortgage Lender in the 2018 What Mortgage Awards, its third consecutive year of success in this category.

Leeds Building Society operates throughout the UK and in Gibraltar and has assets of £19.5bn at 30 June (£17.3bn at 30 June 2017). The Society’s head office has been based in the centre of Leeds since 1886.

Key features

2.72% Easy Start Mortgage 5 Year Fixed Rate up to and including 31 December 2023

  • Available up to 60% LTV
  • Free standard valuation up to £999
  • £999 fee
  • 10% penalty free capital over-repayments permitted each year
  • Tapered early repayment charges, 5 Year – 5/5/4/3/2% until 31 December 2023
  • Purchase only

2.82% Easy Start Mortgage 5 Year Fixed Rate up to and including 31 December 2023

  • Available up to 60% LTV
  • Free standard valuation up to £999
  • No fee
  • 10% penalty free capital over-repayments permitted each year
  • Tapered early repayment charges, 5 Year – 5/5/4/3/2% until 31 December 2023
  • Purchase only

3.09% Easy Start Mortgage 5 Year Fixed Rate up to and including 31 December 2023

  • Available up to 70% LTV
  • Free standard valuation up to £999
  • £999 fee
  • 10% penalty free capital over-repayments permitted each year
  • Tapered early repayment charges, 5 Year – 5/5/4/3/2% until 31 December 2023
  • Purchase only

3.24% Easy Start Mortgage 5 Year Fixed Rate up to and including 31 December 2023

  • Available up to 70% LTV
  • Free standard valuation up to £999
  • No fee
  • 10% penalty free capital over-repayments permitted each year
  • Tapered early repayment charges, 5 Year – 5/5/4/3/2% until 31 December 2023
  • Purchase only