Market Financial Solutions (MFS) has soft launched a buy-to-let proposition through a small number of brokers.
The lender is offering 2 and 3-year products, with fixed rates starting from 4.99% with product fees from 1.75%.
MFS – which is known as a bridging lender – said its loans are suitable for clients in complex situations, as well as corporate or overseas structures, including offshore companies, trusts and foreign nationals.
It will also lend for a wide variety of strong yielding property types, such as very large HMOs or multi-unit blocks through to holiday lets.
The London-based lender is offering a interest cover ratio (ICR) from 80%, which can then be combined with rolled up and deferred monthly payments, deferred interest of up to 1%, and top slicing.
This will help achieve the right loan size, even on prime London properties, while avoiding failed transactions, delays and lost fees.
Paresh Raja, chief executive of MFS, said: “This is a hugely exciting moment for MFS. Building on our 15-year experience as a specialist lender, primarily in the bridging space, we’re now bringing the speed and flexibility that we’re so well known for into the BTL space.
“We are looking forward to working closely with several brokers during this initial pilot, before bringing the BTL mortgage offering to the market next year.”
The buy-to-let proposition is being led by Mike Cook, who recently joined the company and has over 20 years’ experience in mortgage lending.
Cook previously created and launched Vida Homeloans, having previously held senior positions at Bank of Ireland, ING Direct, Lehman, and Kensington.
Cook said: “The transition into the buy-to-let mortgage space is a natural fit for MFS – it understands the buy-to-let market inside out, and will apply its experience in underwriting bespoke loans to help brokers deliver for their more complex clients.
“I am looking forward to driving this pilot forward and have every confidence that it will prove hugely successful in the months to come.”
17 broker firms are taking part in the initial pilot in Q4 2021.
MFS will add more broker firms as the pilot progresses, before fully launching its BTL mortgage range in 2022.