Hinckley & Rugby Building Society has launched buy-to-let (BTL) mortgages for limited companies that are exclusively available through the specialist mortgage distributor 3mc.
The Society has created two bespoke products – a two-year discount and a two-year fix – that are designed for properties held within special purpose vehicle (SPV) limited companies with up to four shareholders.
The mortgages’ maximum loan-to-value (LTV) is 70% and the interest coverage ratio (ICR) affordability assessment for subject property is 125% at 5.5%. Both have a completion fee of £1,250, an application fee of £250, no early repayment charges (ERCs) and a scale valuation fee.
The two-year discount charges 2.99% and the two-year fixed rate is 3.30%.
Doug Hall, director at 3mc, said: “Our exclusive pair of limited company BTL mortgages from Hinckley & Rugby offer both great rates and the Building Society’s manual underwriting and individual consideration of all aspects of applications.”
He said that, with plenty of current and recent changes in the BTL sector, having the ability to consider a corporate structure to ownership provides investors with more opportunities.
Carolyn Thornley-Yates, head of sales and marketing at Hinckley & Rugby, added: “As a ‘can do’ lender, we are pleased to be partnering 3mc in introducing limited company BTL which is an increasingly sought for alternative approach.”
“There is a relative lack of lenders offering mortgages to be held in the name of a limited company, so we look forward to 3mc bringing our competitive products to brokers and their customers.”