Gatehouse Bank has launched a large-scale tier of buy-to-let and home purchase plan products 

The Shariah-compliant lender says the tier, for finance of £500,000 and over, will benefit from rates that are 0.20% lower than equivalent products for smaller amounts.  

It points out that a two-year HPP product for UK residents at 65% finance-to-value will carry a rate of 3.64% if the finance amount is below £500,000, and 3.44% if £500,000 or more.

In addition, rates have been cut across all of the bank’s existing HPP and BTL products for UK residents, UK expats and international residents. This applies whether buying as an individual or through a company for BTL customers. 

Gatehouse Bank product manager for home finance John Mace says:“We are always trying to find ways to expand and improve our range, and the changes we have made ensures our offering is even more accessible and competitive.”

“UK expats, who often find it difficult to access finance, will particularly benefit from our lower rental rates, in addition to our manual underwriting process, which means that we treat every customer on an individual basis.”

Gatehouse now has two tiers of BTL and HPP products. 

The first is for finance amounts between £150,000 and £499,999, with rates starting from 3.64% for a two-year HPP deal at 65% FTV and 3.64% for UK landlords.

Meanwhile, rates start at 3.44% for a two-year fixed HPP product with 65% FTV in the new £500,000 to £2.5m range. BTL products over the same term also start at 3.44% up to £5m.

Its five-year fixed BTL products at 80% FTV for UK expats and international residents have fallen by 0.25% to 4.34% and by 0.35% to 4.74%, respectively.

A UK expat BTL customer who needs finance of over £500,000 and 80% FTV fixed for two years will now be offered rates 0.45% lower than previously at 3.94%. 

The bank says an international BTL customer who wants the same amount of finance and FTV now saves 0.55% over two or five years at rates of 4.34% and 4.54%, respectively.

UK expat customers buying houses in multiple occupation or multi-unit freehold blocks who need over £500,000 of finance will now be offered rates 0.45% to 0.55% lower than previously.

HPP and BTL rates for UK customers, both individuals and companies, have fallen by 0.10% across its two and five-year products, at both 65% and 80% FTV.