Landbay launches large loan product range including HMOs and MUFBs
Landbay has launched a large loan product range for loans up to a worth of £1.5m.
This range consists of 5-year fixed rates for standard properties, houses in multiple occupation (HMOs), multi-unit freehold blocks (MUFBs) and trading companies.
For standard properties, the lender has added 75% loan-to-value (LTV) fixes up to 3.24% for loans worth £1.5m, and for new-build standard properties, 65% LTV fixed rate deals at 3.24% for loans worth £1.5m are available.
For new-build standard properties, products are available at 75% LTV with rates from 3.34% for loans worth £1m, and for small HMOs and MUFBs, the maximum LTV is 75% for loans worth £1.5m and rates at 3.59%.
In addition, for new-build small HMOs and MUFBs, the maximum LTV is 75% with rates at 3.69% for loans worth £1m, and for small portfolio landlord standard properties, the maximum LTV is 75% with rates at 3.14% for loans worth £1.5m.
Landbay has also raised the maximum loan size on existing 5-year fixed rate products to £1.5m from £1m with no change in rates on
large HMOs and MUFBs, trading company small HMOs and small MUFBs and trading company standard properties.
For all three product types, the maximum LTV is 75%, with the former two offering a rate of 3.99%, while the latter has a rate of 3.69%.
Paul Brett, managing director of intermediaries for Landbay, said: “We are seeing more landlords wanting larger loans particularly for investment in HMOs and MUFBs.
“They tend to be professional landlords with growing portfolios who want to invest in larger properties.
“There has also been an increase in trading limited companies investing in HMO and MUFBs.
“This type of accommodation attracts higher yields for landlords and even if there are vacancies within the property there is always income from the other tenants.