Virgin Money is among the plethora of buy-to-let lenders increasing mortgage rates, albeit the lender is doing so at slower rate than the Bank’s interest rate hike of 0.50% last month.
Across it’s core buy-to-let range Virgin is increasing its 80% loan-to-value 5-year fixed rate with a £995 fee by 0.30% to 4.44%.
Meanwhile all other 5 year fixed rates have been increased by 0.15%, all 2 and 3 year fixed rates have been increased by 0.30%, and all 7, 10 and 15 year fixed rates have been increased by 0.30%.
For landlords taking out a product transfer between 65% to 75%, Virgin’s 2-year fixed rate with a £995 fee has been hiked by 0.40% to 3.78%.
It should be noted that most lenders fail to announce mortgage rate hikes and instead only notify journalists when rates fall.
Indeed, Virgin is far from the only lender to increase its mortgage rates at a time when Bank rate rises are cutting into the profits of banks and building societies.
Last month typical residential 2-year fixes surpassed 4% for the first time since 2013, as rates have rapidly increased since the first in a string of Bank of England base rate rises in December 2021.