Aldermore has increased the maximum LTV to 80% on its range of residential buy-to-let fixed rate mortgages with immediate effect and improved its criteria.
It will now lend to landlords with a maximum portfolio size of five properties worth up to £2m. Previously, it restricted its lending to buy-to-let borrowers with no more than three properties worth up to £1m.
Aldermore has also reduced its two-year discount rates, three and five-year fixed rates and its buy-to-let reversion rates, resulting in a more generous rental calculation for many borrowers.
Charles Haresnape, managing director of residential mortgages at Aldermore, said: “We’re very comfortable with the way our buy-to-let portfolio is performing and feel the time is now right to strengthen our range.
“These enhancements to both criteria and rates will ensure that Aldermore’s residential buy-to-let products are amongst the most competitive available, and I have no doubt they will be popular with both brokers and their clients.”
Richard Gordon of UKPI said: “Aldermore is the latest lender to improve its buy-to-let range of mortgage products, being right on the heels of Paragon who announced a new range of products just last week.
“There is clearly a trend now towards improving lending conditions and this is great news for landlords and the buy-to-let market in general. Lenders are feeling more confident about the future for but-to-let and I am sure we will see things improve further as we go into the spring and competition in the lending market hots up.”Source: Landlord Today