Aldermore widens buy-to-let range

Aldermore yesterday cautiously extended its buy-to-let range, as Lloyds Banking Group cut back on its exposure in the market.

Aldermore launched two new fixed-rate deals, available via brokers:

5.69% two-year fix, up to 75% LTV, with a 2.25% completion fee

5.99% four-year fix, up to 75% LTV, with a completion fee of £1,495

Loans are available up to £600,000 for either the purchase or remortgaging of up to two buy-to-let properties per applicant, and a free legal facility is available on all remortgage business.

The applicant must own at least one existing buy-to-let property and rental coverage should be at least 125% calculated using the higher of the pay rate or reversion rate.

Colin Snowdon, chief executive of Aldermore’s residential mortgage lending business, said: “Lloyds’ recent announcement was a real disappointment for many brokers, but we’re doing our bit to help fill the market gap they have created. Not only is our new 5.69% fix extremely competitive, but we also expect our four-year fix to be popular with landlords seeking the certainty offered by longer-term rates.

“These products complement our existing buy-to-let range, which includes two-year discounts starting at 4.98%, a 5.78% three-year fix and a 5.93% five-year fix.

“Our products and free legal facility will particularly appeal to landlords who want to remortgage, and we anticipate significant interest from intermediaries.”