Landbay launches 10-year fixed rate mortgage

Landbay has launched its first 10-year fixed buy-to-let mortgage for investors looking for certainty regarding the cost of their payments.

There are mortgages at 4.04% to 65% loan-to-value and 4.14% to 75% LTV on standard properties, as well as a 75% LTV mortgage at 4.34% for small HMOs of up to six bedrooms.

These products are also available with green options which have reduced rates for properties with an EPC rating of A, B or C.

Paul Brett, managing director, intermediaries at Landbay, said: “Now that the Monetary Policy Committee has voted to raise base rate at each of its last five meetings, more borrowers are considering longer-term fixed rates.

“The launch of our 10-year fixed rates are therefore timely and we know there will be demand for them. With the launch of our new broker portal in May we are now able to design new products and bring them to market much more quickly than before.

“As this is our first foray into the 10-year fixed rate market, we have chosen a select group of specialist distributors to assist us in the launch process.”

These mortgages are available to landlords with at least 24 months experience and a further advance option is available after three years.

Rob Jupp, chief executive of the Brightstar Group, one of the initial distributors of Landbay’s new range, said: “We are seeing more lenders bringing in 10-year fixed rates, which is good for the market. Landbay’s entry brings extra choice for brokers who are receiving more requests for longer-term fixed rate mortgage products.

“Fixing for 10 years makes sense for landlords who are investing for the long-term knowing their monthly payments will remain the same. But as rents increase over the next few years, so will their rental yield.”

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