Mortgages & Finance

Is the pepper product suitable for Ltd Co borrowing?

Not at this time, although (I've just been told.....) it's possibly on the cards, but that's not confirmed, just hearsay!

What I can confirm is;

Pepper's Key Criteria Overview

• No credit scoring
• First time landlords accepted
• No max value for CCJs and Defaults
• Up to 80% LTV for Buy to Let
• Minimum income £18,000 per application
• Free legals on all remortgages
• Minimum loan size of £25,001
• Maximum term of 35 years
• 3 BTL’s with them (max) but no limit on how many ‘in the background.

Can you clarify what you mean by rental calculation based on  'pay rate' please. It's not something I've heard before.

Thanks

Cheryl, the rental calculations that you may have seen banded around mention something like the need for the rent amount having to equal 145% x 5.5% of the mortgage payment.

The second figure is the stress test rate to encompass potential tax charges affecting cashflow and affordability.  This high rate has affected how much BTL'ers can borrow.  A pay rate stress test of 2.98% means that ultimately you can borrow more, based on the same rent amount being paid.

Call us on 01206 654 444 for further specific and personalised quotes to see what you are actually eligible for.

Barclays launches new BTL and residential ranges

(source > https://www.mortgagestrategy.co.uk/barcl...ial-range)

Barclays is launching new residential and buy-to-let mortgage products and exclusive offers for existing mortgage customers.

The lender is bringing in buy-to-let purchase and remortgage rates including a 1.99 per cent 3-year fixed rate loan at 60 per cent LTV with a £1,950 fee.

The firm is also introducing a 2.59 per cent three-year fixed mortgage at 60 per cent LTV with no fee.

Other lenders, rates and products also available!

Specialist lending brand Keystone Property Finance has added a new three-year fixed rate buy-to-let mortgage deal to its Classic Range. Priced at just 3.69% at 65% loan-to-value (LTV), it is now the lowest priced product in the selection.

This rate is being offered to landlords regardless of whether they choose to invest personally or through a limited company. And, unlike many buy-to-let lenders, it is available to trading limited companies as well as Special Purpose Vehicles (SPVs).

Perhaps crucially for many investors using corporate structures, Keystone does not impose an upper age limit to qualify for finance.

Source

Barclays is launching a new buy-to-let mortgage range and exclusive offers for existing mortgage customers, while it has also announced that it is increasing its maximum buy-to-let loan size on all 75% loan-to-value (LTV) products to £1m, as well as cutting existing buy-to-let rates.

The lender is hoping to win more business from landlords with its new buy-to-let purchase and remortgage rates, including a 1.99% three-year fixed rate loan at 60% LTV with a £1,950 fee.

Barclays is also bringing in a 2.59% three-year fixed mortgage at 60% LTV with no fee.

The firm is introducing a £250 cash-back option to replace the free legal option on its ‘Switch and Save’ package.

A new lender has launched in the buy-to-let space, ditching the traditional loan-to-value (LTV) method of mortgage finance.

Instead, the new “productless” property lender, Octane Capital, says it will price each individual loan according to the “real” risk of the borrower assessed by their underwriters.

Octane Capital says it will provide bridging finance as well as buy-to-let loans for up to three years on properties worth a minimum of £100,000.

It will consider buy-to-let loans for individual landlords and companies, and the rental income will need to cover 100% of the pay rate.

Source article

A new three-year fixed rate buy-to-let mortgage at 3.69%, available at up to 65% loan-to-value (LTV), has been launched by Keystone Property Finance.

The new product, which is the lowest priced in Keystone’s ‘classic range’, is available to landlords regardless of whether they choose to invest personally or through a limited company, including both trading limited companies and special purpose vehicles.

There is no upper age limit imposed by Keystone to qualify for finance, with mortgages available to borrowers aged up to 85 years at the end of the mortgage term.

Full/source story

URGENT NEWSFLASH

I have just received an email from Pepper which says;

"Howard,

At 6pm this evening (Tuesday 16th May) we'll be withdrawing our Buy to Let Limited Edition 5 Year Fixed rate product. 

Sorry this is being withdrawn at short notice, however to secure the rate all you need to do is submit a Decision in Principle before this time.""

Anyone who wants to secure this deal via Property Tribes Financial Services must email me NOW!     PEPPER@ptfs.co.uk