Specialist lender MT Finance has made significant moves in the buy-to-let mortgage market by lowering rates across its range of products. This includes introducing a new offering with an interest rate below 3%, making it an appealing option for landlords.
The lender has also implemented what it refers to as “significant reductions” on other selected buy-to-let products. These changes are designed to enhance the competitiveness of MT Finance’s portfolio and provide better options for landlords looking to secure more affordable financing.
Among the updates, MT Finance is now offering a two-year fixed standard residential buy-to-let Tier 1 product with an interest rate starting from 2.99%. This marks a reduction from the previous rate of 3.19%, offering landlords a more cost-effective option for securing finance over a fixed period.
The new rates are expected to appeal to a wide range of landlords, including those looking for stability and predictability in their monthly repayments. With a reduction of 0.20% on the Tier 1 product, landlords can enjoy a more favourable financial situation as they navigate the challenges of managing their properties.
Additionally, MT Finance is offering a two-year fixed standard residential buy-to-let Tier 2 product at a rate of 3.65%. While slightly higher than the Tier 1 option, this product remains competitive in the current market and offers flexibility for landlords with different financial requirements.
Both of these products come with the same level of ICR (Interest Cover Ratio) stress testing, which remains set at a competitive 125%. This ensures that landlords are able to meet the affordability criteria while also benefiting from a manageable level of financial risk.
These adjustments come at a time when many landlords are looking for ways to navigate the increasing cost of borrowing. By lowering rates and offering more competitive terms, MT Finance is positioning itself as a strong player in the buy-to-let mortgage sector.
As the market evolves, it is expected that other lenders will follow suit, offering similar reductions in an effort to remain competitive. Landlords are encouraged to take advantage of these reduced rates while they are available, as they can provide significant savings over the term of the mortgage.
The headline rate offered by MT Finance has now dropped below the 3% threshold, presenting a strong opportunity for landlords aiming to maximise their investment returns. This move reinforces the lender’s commitment to offering competitive and attractive financing options within the buy-to-let market.
Marylen Edwards, the Director of Mortgages at MT Finance, commented on the reduction: “We are delighted to introduce this significant rate cut, now providing a buy-to-let product with a rate under 3%. At a time when landlords and property investors are searching for both value and stability, breaking through the 3% barrier highlights our confidence in the market.”
This new offering from MT Finance is likely to attract landlords who have been closely monitoring interest rates in the hope of securing better deals. By reducing its headline rate, the lender aims to provide a more affordable option for those looking to enter the market or refinance existing portfolios.
The fact that the lender is offering a rate below 3% speaks volumes about its confidence in the current market conditions and its ability to deliver favourable products for its clients.
For landlords seeking long-term stability, this rate cut could be a timely opportunity to lock in competitive financing terms.
As the market evolves, such rate reductions are expected to have a significant impact, making buy-to-let financing more accessible to investors looking for cost-effective solutions.
MT Finance’s decision to offer a rate below 3% is part of a broader strategy to remain competitive within the sector. The lender’s focus on providing value and attractive terms continues to resonate with those who are keen on maximising the potential of their property investments.
Landlords and investors are advised to take advantage of these rates while they last, as such opportunities may not be available for long given the changing economic landscape.
Download NOW
4 Simple Steps To Becoming Wealthy Through Property