Society returns to Portfolio BTL and Interest Only markets

01 February 2021

Leek United Building Society has announced its return to Portfolio BTL and Interest Only markets along with several product changes to support its intermediary partners.

Following feedback from their partners and a number of months away from the Portfolio BTL and Interest Only markets, the Society has refreshed their product range. Danny Belton, from Society partner Legal and General Mortgage Club, said “We’re delighted to hear about the return of portfolio BTL and interest only residential products from Leek United Building Society. The past year has been an unprecedented one for the entire mortgage industry but enhancing choice and products for customers and partners is always a step in the right direction.”

The Society has released two new Residential Interest Only products to their range of mortgages. They are offering advisers two year residential options with rates fixed at 2.42% or discounted at 2.19% variable (SVR minus 3.00% for two years) with up to 75% LTV.

Three new Portfolio BTL products have been launched with two and five year options up to 65% LTV and a two year fixed up to 75% LTV. This accompanies a recent criteria change meaning the Society can now accept portfolio landlords whose sole income stream is rental income. In addition to this, they have removed the requirement for a personal affordability assessment, thus speeding up the processing of portfolio applications.

The changes include a rate reduction of their Residential 5 year fixed product range up to 85% LTV, with fee free and £400 cashback options to choose from.

All the Residential products launched have a minimum loan size of £25,000, a maximum of £1.5 million and have a maximum term of up to 40 years, with the Portfolio Buy to Let products having a minimum loan size of £50,000 and a maximum of £1 million.

The lender has seen steady growth in lending throughout 2020 with support from some of the most respected clubs and networks across England and Wales.

These changes accompany the lenders extensive product range and flexible criteria such as no upper age and accepting gifted deposits to support the First Time Buyer market.

Intermediary Lending Manager, Laura Allcock said, ‘Following many conversations with intermediaries we were keen to get back in to both the Portfolio BTL and Interest Only markets. We are seeing an increased demand and have the specialist skills in our intermediary and underwriting teams to deliver a quality service. We are constantly reviewing our processes and our product ranges to ensure we are meeting the needs of our partners in 2021’.