Furthermore, the product also has a fixed fee and allows 10% capital repayments each year, without penalty, and there is no higher lending charge.
Kim Rebecchi, sales and marketing director, said, “We have looked at the market and delivered a highly competitive fixed rate buy-to-let. When you look at what is currently available, many of the low rate products have percentage-based fees, which can be up to 3.50% of the loan and this can make the headline rate much less attractive.
“We have delivered certainty and peace of mind, not only in terms of a fixed monthly payment, but also with fixed fees of only £999. Clearly, this is of significant benefit to those landlords looking to budget and manage their portfolio.
“There is no doubt that interest rates cannot stay this low forever. In fact, Andrew Sentance voted for an increase to Bank Base Rate of 0.25% at the MPC meeting last month, which was the first vote in favour of a rise for many months
“With rates historically low and house prices at their current levels, we believe that now is a very good time to lock into a low fixed rate and this product will attract professional landlords, who may wish to move onto a highly competitive rate and fix their monthly commitments, as well as benefiting first time landlords in particular.”