Buy-to-let (BTL) specialist lender Fleet Mortgages has today relaunched its range of five-year fixed rate products for landlord borrowers purchasing or remortgaging a property with an Energy Performance Certificate (EPC) rating of A-C.
Available across Fleet Mortgages’ three core product ranges, the standard and limited company products are available up to 75% loan to value (LTV) at a rate of 5.04%.
Meanwhile, the house in multiple occupation (HMO)/multi-unit block (MUB) product is offered at 5.44%.
All the EPC A-C products come with a fee of 3%, with a minimum of £750.
Alongside this, the lender continues to offer its £1,000 cashback incentive to landlord borrowers who improve their property’s EPC level to a C or above during their initial fixed rate period.
Fleet Mortgages has also cut the rates on its two-year product transfer (PT) products for existing customers across all three ranges: standard, limited company and HMO.
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The two-year PTs have been reduced by 10 basis points (bps). There are new rates of 4.59% for standard and limited company borrowers and 4.89% for HMO.
Steve Cox, chief commercial officer at Fleet Mortgages, said: “With all private rental sector properties now required to have an EPC of A-C by 2030, we anticipate more landlords will be looking to improve those properties that do not currently make the grade.
“There are a number of reasons for doing this sooner rather than later, not least the opportunity to secure better rates for properties at this level. We are pleased to be relaunching these five-year options for A-C – alongside our existing two-year products – which are priced at 10 basis points below the non-A-C alternatives.
“Over the course of a five-year term that presents a good mortgage saving and, as we know, a large number of properties may not require a vast amount of work or investment in order to get them to the required level.”
He continued: “To offset some, or indeed all, of this cost, Fleet continues to offer our £1,000 cashback, which can be put towards any work as long as it is completed within the fixed term of the mortgage and can be proven with an up-to-date EPC.
“Overall, and certainly alongside an increased demand for tenants for energy-efficient properties, there are plenty of compelling reasons for landlords to improve their properties and secure mortgage price discounts that are available via Fleet.”
Earlier this week, the lender reduced five-year fixed rates.
