Abbey launches into buy-to-let

by Aaron Strutt

Dec 19 2011

Abbey for Intermediaries has launched into the buy-to-let market with a range of products for non-professional landlords.

A minimum deposit of 25% is required and applicants must already have a residential or buy-to-let property. If two applicant names are on the mortgage, at least one of them must be employed, as Abbey is not keen to lend to self-employed investors.

The lowest rate Abbey is offering is a two-year fix rate at 4.29% up to 60% loan to value and it has a £1,495 arrangement fee. Both purchase and remortgage customers get a free property valuation and £250 cash back on completion.

Aaron Strutt, a broker at Trinity Financial, says: “NatWest changed their buy-to-let rental calculation and cash rich investors in a position to cover any rental void can now borrow more money.

“There is mixed news in the buy-to-let market at the moment. Some mortgage rates have been withdrawn because of the rising cost of funds and other banks have improved their qualification criteria to increase lending volumes.”

19 December 2011