Mortgage Trust return to the buy-to-let market
Mortgage Trust has made a welcome return to the buy-to-let mortgage market after they withdrew from lending due to the effects of the credit crunch. They are part of the Paragon Group and offer less complex mortgages than Paragon, who specialise in mortgages for professional landlords.
Mortgage Trust currently offers two deals aimed at landlords looking to remortgage in to a fixed or low tracker rate.
Their two-year fix is competitively priced at 4.99% and the two year LIBOR tracker is cheap at 3.99%. The arrangement fee for both mortgages is £999 and 25% equity in the property is required. The maximum loan size is £500,000.
A number of lenders have made changes to their buy-to-let rates this week and Northern Rock significantly increased the number of rates that they offer. There's now the option to take a base rate tracker and a percentage based arrangement fee. One of the most competitive mortgages that Northern Rock offers is a tracker rate at 4.29% and it has a £1995 arrangement fee. A 30% deposit is required.
Aaron Strutt, a broker at Trinity Financial, said: "It's been a good week for borrowers looking to take a buy-to-let mortgage as the level of competition between the lenders has increased. Mortgage Trust used to be a huge lender and we are expecting their return to have a positive effect on the buy-to-let market. They generally have low rates and low arrangement fees.
“Godiva Mortgages are another lender with excellent mortgages. We currently have access to a tracker rate with them at 3.99% and it has no early repayment charges.
“We are taking more enquiries about investment mortgages at the moment and lenders are certainly looking to increase lending in this area.â€
April 21, 2011
Get started today
Speak to one of our mortgage experts. Book an appointment to come and see us or request one of our experts to call you.
