Fleet Mortgages has returned to the mortgage market with a range of limited edition products and a number of criteria enhancements.
The move comes after the completion of a new long-term funding deal which will see Fleet complete more than £1bn in new lending. There are also ongoing discussions with additional funders to secure further funding lines that will run alongside this.
As part of its re-launched range, Fleet is offering new products across all of its three core areas: standard, limited company, and HMO/multi-unit blocks. Rates start from 2.69 per cent and a rental calculation of 125 per cent at 5.5 per cent for all taxpayers.
Product highlights of the new range include free and discounted valuation products for standard and limited company borrowers. Available up to 75 per cent LTV, the range includes a five-year fixed pay rate product at 3.59 per cent with an interest coverage ratio of 125 per cent at the initial rate.
Free valuations are available for properties valued up to £500,000 on selected standard and limited company two and five-year products, while a discounted valuation fee scale is available for property valued at more than £500,000.
Following feedback from its intermediary partners, Fleet has also introduced a number of enhancements. These include portfolio lending being increased up to £4m, with up to 75 per cent LTV available on lending up to £2m, and 65 per cent LTV on lending between £2m and £4m.
Landlords now need two years’ landlord experience for HMO lending. This was previously three years if they were a landlord of a non-HMO property.
For local authority properties outside London and South East, the minimum valuation is now £75,000 – down from £100,000.
Assured shorthold tenancies are now accepted up to 36 months; previously this was 24 months. All tenancy agreements over 12 months in length must have the standard UK Finance break clause.
Fleet Mortgages chief executive officer Bob Young (pictured) says: “We are obviously very pleased to be announcing this new product range today, which not only comes with some highly-competitive pricing, but a number of new criteria enhancements that we know will go down well with advisers and their clients.
“Whilst preparing for our return we took time to listen to a broad range of feedback from our intermediary partners which, coupled with this new funding arrangement, has allowed us to introduce options such as product transfers for new borrowers and a new free standard valuation option on certain products.
“Ideally, we would liked to have returned to the market sooner but what this process has shown is that there are a growing number of funders who value the quality of the Fleet Mortgages’ proposition and want to work with us over the long-term. Exploring these potential options was a no-brainer for the business and we hope to announce further good news in this area very soon.
“We appreciate the patience of all our intermediary partners over the last few months while we have concluded these new funding arrangements, and believe this is a range of products, with enhanced criteria, that will work well for all those with buy-to-let clients.”