New mortgage deal exclusively for HMOs
Monday 27 February 2017
As more and more BTL landlords invest in houses in multiple occupation (HMOs), mortgage distributor 3mc has launched an exclusive mortgage deal, aimed at individuals as well as limited companies.
The higher returns available from HMOs is making them an increasingly appealing prospect among investors and the trend looks set to continue, supported by cheaper finance products.
The deal is available to all intermediaries and through the mortgage distributor’s network partners at 3.74 per cent fixed for two years at a maximum 75 per cent loan-to-value (LTV) with a £1,995 arrangement fee, and a one-year fixed at 3.69 per cent (Precise tier 2) or 3.95 per cent (Precise tier 3) also at up to 75 per cent but with an arrangement fee of 2 per cent.
Doug Hall, Director of 3mc, said: “Both of these products are ideally suited for today’s buy-to-let market.
“HMOs are increasing in popularity as investors seek higher returns and the one year fix is ideal for landlords who are looking for a short-tem product while repairing their credit record.”
Alan Cleary, managing director of Precise Mortgages, added: “The buy-to-let market is continuing to evolve and these two products have been designed to meet the needs of the market in 2017.
“As well as offering competitive rates and accommodating criteria, borrowers will also benefit from a revert rate of 3.5 per cent, which is designed to remove any payment shock at the end of the fixed rate period. ”
We want to add value to landlords with interesting news and views! Our Hub includes information and opinions on the housing market from a variety of expert sources – please just be aware it doesn’t always reflect Simple’s opinion, or the products and services we provide.