Fleet Mortgages has added a number of zero and fixed-fee products to its house of multiple occupation (HMO) range and cut rates on several existing products.
The new HMO products are a zero-fee product at 65% LTV with a rate of 6.04%, a 65% LTV deal with a £3,999 fixed fee and a rate of 5.59% and a 87% LTV mortgage with a £3,999 fixed fee at 5.69%.
On existing HMO mortgages, the lender has cut prices between 10 and 40bps, including a 75% LTV two-year fix with a 3% fee reduced from 5.49% to 5.09%.
Fleet has also cut rates to selected standard and limited company products, including a 65% five-year fix, standard/limited company product with a £1,999 fixed fee, down from a rate of 5.44% to 5.19%.
The maximum loan size on all fixed-fee products has increased to £750k.
The lender earlier announced a revamp of its purchase and remortgage HMO products in late August.
Fleet chief commercial officer Steve Cox says: “There has been a growth in demand for HMO mortgage finance as landlords seek to build a more diverse portfolio, and secure the higher rental yields that often come with such properties.
“We therefore want to ensure we are offering the HMO landlord borrower a greater array of options, in terms of LTV, but also fee structure, allowing them to meet affordability in different ways and to cut their cloth accordingly.
“At the same time we have been able to cut rates on our existing HMO, standard and limited company products which we believe will be welcome news to both advisers and their landlord clients.
“We’ve seen a more positive market in the last couple of months and anticipate this continuing throughout the rest of 2024, particularly given the level of mortgages coming up for maturity, coupled with landlords now more willing and able to add to portfolios with new purchases.”
